E-mini NASDAQ-100 Index

E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Weakens Under 14920.25, Strengthens Over 15069.75

December E-mini NASDAQ-100 Index futures are trading lower at the mid-session as global technology shares take a hit across the board. No sector or subsector is safe from heavy selling pressure during today’s session. The catalysts behind the sell-off are worries over the strength of the global market recovery and fear that economic problems in China will spread to other financial markets.

At 17:10 GMT, December E-mini NASDAQ-100 Index futures are trading 14887.50, down 438.50 or -2.86%.

In stock related news, Advanced Micro Devices Inc is the performing the worst, down 3.22%. Adobe Inc is down 2.28%. Align Technology is off by 2.50%, Amazon.com Inc is weaker by 3.53% and Amgen Inc is trading 1.70% lower.

Daily December E-mini NASDAQ-100 Index

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart, however, momentum is trending lower.  A trade through 14699.00 will change the main trend to down. A move through 15702.25 will signal a resumption of the uptrend.

The minor trend is down. This is controlling the momentum. A trade through 15532.50 will change the minor trend to up.

The short-term range is 14437.00 to 15702.25. The index is currently testing the lower end of its retracement zone at 15069.75 to 14920.25.

The main range is 13450.00 to 15702.25. If the main trend changes to down then look for the selling to possibly extend into its retracement zone at 14576.00 to 14310.25.

The minor range is 14699.00 to 15702.25. Its 50% level at 15200.75 is additional resistance.

Daily Swing Chart Technical Forecast

The direction of the December E-mini NASDAQ-100 Index into the close on Monday is likely to be determined by trader reaction to 14920.25.

Bearish Scenario

A sustained move under 14920.25 will indicate the presence of sellers. If this move creates enough downside momentum then look for the selling to possibly extend into the main bottom at 14699.

Taking out 14699 will change the main trend to down and could trigger an acceleration into the retracement zone at 14576.00 to 14310.25. Look for buyers on the first test of this area.

Bullish Scenario

A sustained move over 14920.50 will signal the return of buyers. This could create a lowered rally with potential upside targets coming in at 15069.75 and 15200.75.

Overtaking 15200.75 will indicate the buying is getting stronger. Overcoming 15326.00 will put the index in a position to form a potentially bullish closing price reversal bottom.

For a look at all of today’s economic events, check out our economic calendar.

Published by

James Hyerczyk

James A. Hyerczyk has worked as a fundamental and technical financial market analyst since 1982. His technical work features the pattern, price and time analysis techniques of W.D. Gann.