In This Article:
March E-mini NASDAQ-100 Index futures are trading slightly higher early Tuesday after U.S. equity markets kicked off February with a solid rebound session after posting steep losses last week.
The positive day for equities came despite another volatile day in parts of the market that have been the focus of retail traders. Shares of GameStop, fresh off a 400% rise last week, slid 30% on Monday and continued to fall during afterhours trading.
At 04:09 GMT, March E-mini NASDAQ-100 Index futures are at 13339.25, up 102.75 or +0.78%.
Investors will be met with a slew of earnings on Tuesday, including tech giants Amazon and Alphabet which report after the market close.
Investors will also be following stimulus negotiations in Washington, where Congressional Republicans made a counteroffer to President Joe Biden’s $1.9 trillion stimulus plan on Sunday.
Biden met with those lawmakers on Monday as Congressional Democrats moved toward passing a reconciliation bill without bipartisan support. White House press secretary Jen Psaki described the meeting as “substantive and productive.”
Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. A trade through 13599.75 will signal a resumption of the uptrend. The main trend will change to down if a pair of main bottoms at 12727.25 and 12727.00 fail as support.
The minor range is 13599.75 to 12727.25. The index is currently trading on the strong side of its retracement zone at 13266.50 to 13163.50, making the zone support.
The next two 50% support levels come in at 13045.50 and 12908.25.
Daily Swing Chart Technical Forecast
The early price action suggests the direction of the March E-mini NASDAQ-100 Index on Tuesday will be determined by trader reaction to the minor Fibonacci level at 13266.50.
Bullish Scenario
A sustained move over 13266.50 will indicate the presence of buyers. If this continues to generate enough upside momentum then look for the rally to extend into the record high at 13599.75.
Bearish Scenario
A sustained move under 13266.50 will signal the presence of sellers. This could trigger a labored break with potential support levels lined up at 13163.50, 13045.50 and 12908.25.
If 12908.25 fails then look for the selling to possibly lead to a retest of Monday’s main bottom at 12727.25. The trend will change to down if this bottom fails as support.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
More From FXEMPIRE:
-
European Equities: Eurozone GDP Figures, Corporate Earnings, and Capitol Hill in Focus
-
Natural Gas Price Prediction – Prices Rise Led by Colder than Normal Weather
-
AUD/USD Forex Technical Analysis – Aussie Edging Higher Ahead of RBA Rate Statement
-
Price of Gold Fundamental Daily Forecast – Silver Plunge, Firming Dollar Weighing on Prices