Market Overview: NASDAQ 100 Emini Futures

The NASDAQ Emini futures week is a bear doji pause bar closing just below last week’s close.

This week was a pause bar after the strong bull bars over the past few weeks.

NASDAQ 100 Emini futures

This week is a bear doji bar with a big tail below.
As mentioned last week, there were likely traders trapped at the high of the week of 5/22.
Traders sell strong bull bars and buy strong bear bars because they usually pullback.
The market continued to go up the week of 5/29, trapping traders who sold at the high of 5/22 expecting a pullback.
This created a layer of support at the high of 5/22 and this week reversed around the 5/22 high.
The next bull target is the close of 3/28/2022 at 14831.
The market is at the high of a channel as shown on the chart.
As a result, there should be a pullback in the next few weeks. There has not been a meaningful pullback since early March.
If bulls can keep the gap open with August high, the possible measured move target of the August 2022 to December 2022 low would put the market back near the all-time high.
Bears have not done much yet.
There have been no consecutive bear bars since December of 2022.
There has not been a close below a prior bar since early March.
The first bear target is to close the gap with the August high, and the highs of the trading range of April.
There is also a body gap created by the bull bar of 1/30 – There has not been a bear close that overlaps with the body of 1/30 after the market broke above the close of 1/30.
The next target for bears will be to close the body gap by going below close of 1/30 – 12613.25

Friday is doji bar with a bigger tail above.
The market had a small sideways move Monday and Tuesday.
Wednesday was a big outside-down bear bar – i.e., it went above the Tuesday high and closed below the Tuesday low.
Thursday was a bull inside bar, and Friday closed near the open of the week.
The price level around last Wednesday – 5/31 was a likely magnet for a future test as the market broke strongly above 5/31 trapping bears.
The big bear bar on Wednesday this week let out traders that sold the high of last Wednesday, but not the close.
Given the big bear bar this Wednesday, and poor follow-through Friday to the bull reversal inside bar Thursday, there will likely be another leg sideways to down next week.

You can access all weekend reports on the Market Analysis page.