NASDAQ-100 Strengthens Over 14917.25, Weakens Under 14811.25

March E-mini NASDAQ-100 Index futures are moving higher late Friday in whipsaw trading, bouncing back from yesterday’s steep loss, as Amazon’s positive numbers boosted sentiment after a mixed week of big-tech-earnings.

Shortly before the cash market opening, the tech-weighted index was pressured by a jump in U.S. Treasury yields on fears of faster-than-expected rate hikes by the U.S. Federal Reserve. This move was fueled by better-than-expected U.S. labor market data.

At 20:37 GMT, March E-mini NASDAQ-100 Index futures are at 14793.75, up 301.50 or +2.08%. The Invesco QQQ Trust Series 1 ETF (QQQ) is at $360.54, up $6.99 or +1.98%.

Amazon.com Inc jumped 15.5% after reporting robust earnings in the holiday quarter. Results from megacap growth stocks have dictated market moves this week, as investors seek out tangible data to support sky-high valuations.

Meanwhile, the Labor Department’s closely watched employment report showed nonfarm payrolls increased by 467,000 jobs last month, compared with the 150,000 jobs addition forecast by economists polled by Reuters. The data for December was revised higher to show 510,000 jobs created, instead of the previous reported 199,000.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. However, momentum is trending higher.

A trade through 15260.00 will change the main trend to up. A move through 13706.00 will signal a resumption of the downtrend.

The minor trend is up. This is controlling the momentum. A trade through 13841.00 will change the minor trend to down.

The key support is a longer-term retracement zone at 14515.75 to 13984.25. Inside this zone is a minor retracement area at 14483.00 – 14299.50. These zones stopped the selling earlier today.

On the upside, the minor retracement zone at 14811.50 – 14917.25 is resistance.

The short-term range is 16659.50 to 13706.00. Its retracement zone is also resistance. This area stopped the buying at 15260.00 on Wednesday.

Short-Term Outlook

The two-sided price action and spiraling chart pattern suggests impending volatility. Start preparing for a major move.

Holding 14515.75 to 14299.50 means aggressive counter-trend buyers are trying to form a potentially bullish secondary higher bottom. Overtaking 14917.25 will indicate the buying is getting stronger. This could trigger a surge into 15182.75 to 15531.25.

Taking out 15260.00 will change the main trend to up. This could create the upside momentum needed to drive the market through 15531.25.

A failure to overcome 14811.50 – 14917.25 will signal the presence of sellers. A failure to hold 14515.75 – 14299.50 will indicate the selling pressure is getting stronger. This could trigger an acceleration to the downside with the next target 13984.25.