Market Overview: NASDAQ 100 Emini Futures
The NASDAQ Emini futures week is a bear bar with small tails. This is the first pair of strong bear bars since December 2022. Bears needed a follow-through bar to the outside down (OD) bar last week, and they got it this week.
The August monthly bar low has gone below the July low. This is the first pullback since March. Bulls will try to close above the July low, to repeat the same pattern that had been happening on the weekly charts.
NASDAQ 100 Emini futures
The Weekly NASDAQ chart
- The week is a non-climactic bear bar with small tails.
- Last week, bears had a good outside down reversal bar.
- Bears needed this week to close below the outside bar as a follow-through bear bar. They got that.
- The market closed the breakout gap and the body gap with June.
- The market is also back within the channel shown on the chart with yellow lines.
- The next target for the bears is to close the body gap with March 2022.
- Bulls will try to keep the body gap open and another leg up.
- The move down is strong enough that there should be at least a small second leg down.
- For example, if next week is a bull bar closing near this week’s high, likely the following week will be a bear bar.
- Bulls don’t want three consecutive bear bars, so they want next week to close as a bull or doji bar.
- The market may also go sideways for the exponential moving average (EMA) to catch up.
- The target for the bulls mentioned before remains –
- The high close of 2021 – 16338.75
- The all-time high in November 2021 at 16767.5
The Daily NASDAQ chart
- The report from a couple of weeks ago had mentioned that there would likely be a second leg down from the 3 bear bars of 7/19-7/21.
- Last week tested the breakout point of June, but then closed below the June high.
- Last week was also the first time the market had multiple daily closes below the daily EMA since early February.
- This is the first occurrence of a close below the EMA since May 4.
- Friday is a doji bull bar with tails above and below.
- Monday was a bull reversal bar. Tuesday gapped down and closed as a bear doji but never triggered Monday’s reversal bar.
- Wednesday was a bear bar with a close below Tuesday.
- Thursday was an OD day with tails above and below.
- Friday opened below Thursday’s low and ended as a doji bull bar with a close below Thursday’s low.
- The bear leg down in the last two weeks has been strong – there has not been a bull close above the prior bar.
- At the same time, bulls are scalping by buying below bull bars.
- The first target for the bulls is to have a close above the prior bar.
- The next target for the bulls is to reach the daily EMA.
Market analysis reports archive
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