Big Tech Set for Bullish Turn or Big Drop?

Big tech stocks continue to garner trader attention, particularly those in the primary Nasdaq 100 (NQ) futures index. 

Our research shows upside, but the market is currently right on the down trend line.

If the trend line holds, there could be more upside in store. If not, a drop back to the up trend line may take place.

For now, we need to let the market show us the way…

NQ Setting Up a Bull or Bear Run?

Here’s how we see the big tech stocks that are embodied in the Nasdaq 100 Index and its futures contract (NQ)…

Nasdaq 100 Index Futures Contract (NQ) Price and Technical Analysis – Source: TradingView

The NQ daily time frame broke the downtrend line and entered into the buy zone. 

The market is now testing the back side of the old downtrend line where support can hold. 

If support holds, the research shows to expect the buyers to push the market up towards the Fibonacci extension price point 14,697.50 about +6,640 ticks above the market.  

If support fails, the research shows to expect the market to fall bearish towards support price point 11,392.75 about -6,386 ticks below the market. 

It will be a good idea to allow the market to tell us the direction and not for us to tell the market the direction.

What that means is that it is a good idea to wait for the daily candlestick to close… 

If the market closes below support, then turning to the one hour time frame and looking for selling ideas will be a good idea. 

If the market gives a bullish candlestick and closes above support, it will be a good idea to turn to the one hour time frame and to look for buying ideas in the buy zone. 

As of now, it is a good idea to stay out of the market and wait for confirmation.

The Bottom Line

There are multiple ways to trade the futures, stock and other markets. We can trade the indexes, both up and down, as well as individual stocks… 

But my colleague and energy expert Anthony Speciale has a particular focus on the petrol market.

To learn more, check out the important P.S. below…

For more on the markets as well as trading education and trading ideas like this one, look for the next edition of Josh’s Daily Direction in your email inbox each and every trading day.

I’ll be bringing you more of my stock and futures contract trading tutorials as well as some additional trading ideas.

And if you know someone who’d love to make this a part of their daily trading routine, send them over to joshsdailydirection.com to get signed up!

Keep on trading,

P.S. My colleague and energy expert Anthony Speciale continues to show the way to profits from the petrol patch…

To learn more about his pipeline of profits, click here!

Josh Martinez

Josh Martinez

Josh Martinez is an elite Analyst who’s been actively trading the financial markets since 2011. He’s known as one the leading innovative traders in this industry due to his his cutting-edge strategies.

Josh first burst into the scene when he took an initial deposit investment of $500 and turned into over $39,000 in just under 2 years.
Josh’s trading articles have been featured in Your Trading Edge, The FX Street, Trader Planet, Forex Crunch, Trading Pub, and Equities.com.

In addition to trading, Joshua has also trained thousands of traders worldwide. His strategies and systems have helped others find success in the market

Leave a Reply

Your email address will not be published.

Stop wondering what direction the markets are headed! Sign up right now to get Josh’s Daily Direction straight to your inbox each morning before the trading day even begins. Best of all – it won’t cost you a dime.