E-Mini NASDAQ Poised For A Breakout

Frank Ochoa .green_link a, .green_link a:visited, .green_link a:hover{color:#009F00;font-weight:bold}By Frank Ochoa updated January 22, 2013 | More Posts By Frank Ochoa | Author's WebsiteSubscribe by RSS Email/Share Page Tweet

After a few weeks of range bound activity, the E-Mini NASDAQ 100 seems poised for a major breakout opportunity. Here’s why…

Major Compression

Special Offer

The daily chart shows the E-Mini NASDAQ 100 is trading within the boundaries of a highly compressed price range. As it turns out, this price range actually encompasses the year’s trading thus far.

The fact that markets ebb and flow between compression and expansion phases, leads me to believe we’ll likely see a breakout from this trading range soon.

As a matter of fact, the Range Ratio calculation shows the current average 10-day price range is vastly tighter than normal (a reading below 0.75), which is usually a precursor to explosive breakouts and range expansion.

E-Mini NASDAQ 100

Furthermore, the NQ has formed an Inside Day pattern, whereby the last day’s price range fell within the price range of the preceding session. This pattern usually leads to breakout opportunities, as well.

Targets to Watch

Regardless of direction, a breakout should yield solid results. As a matter of fact, I’m estimating that a move of around 98.25 points could be seen over the upcoming 10 days.

You see, the current average 10-day price range is 78.50 points. When price breaks free from highly compressed ranges, it tends to move a distance of about 125% of the current average multi-day range (78.50 x 1.25 = 98.25). Of course, this is just a Rule of Thumb, but you’d be surprised how accurate this calculation can be.

With resistance being 2,752, and support being 2,700, we’re looking at 10-day targets of 2,850.25 for Bulls and 2,601.75 for Bears. Guess what? The monthly R2 Floor Pivot is sitting at 2,852.25, and the monthly S1 pivot is 2,586.25, which are very close to the MDR calculations above.

Keep in mind, the NQ may continue to churn slowly within the trading range over the next few days. However, once the market sees a worthy catalyst, look for a potentially big breakout opportunity to occur.

FREE Webinar Tomorrow!

Speaking Tour

Our friends at TTTHedge.com (www.ttthedge.com) and Trade Pilot Pro (www.tradepilotpro.com) have asked me to deliver a live webinar in their trading room tomorrow, Jan. 22 at Noon ET. Consider this your open-invitation to come hang out in the trading room all day long – for FREE!

Use this link to sign in to the event: https://tradepilotpro.ilinc.com/join/rbhjctk

I’ll be discussing my current 2013 Market Outlook, so there will be tons to cover. And be sure to stay awhile, so you can watch them trade the markets live!

The Complete Swing Trading Course

Complete Swing Trading Course

Be sure to check out our newest PivotBoss educational offering entitled The Complete Swing Trading Course!

This course is an all-inclusive, 3-in-1 swing trading course that packs a ton of punch. Split into 3 DVDs, this course includes the following sections: Foundational Swing Trading Concepts, Swing Trading Setups and Pro Entry Techniques, and Trade and Risk Management.


BONUS OFFER: Don’t forget, if you buy the course by the Jan 25 deadline, you will also receive 2 FREE live webinars that will complement the course! You’ve got to hurry, though, as this offer applies to the first 50 traders only!


Frank Ochoa
PivotBoss | Own the Market

Follow us on Twitter:


After a few weeks of range bound activity, the E-Mini NASDAQ 100 seems poised for a major breakout opportunity. Here’s why…

PB Index

S&P 500 2013 Outlook: Massive Correction Ahead?

Here’s my 2013 market outlook for the S&P 500, wherein I discuss medium and long term analysis, and reveal why I believe it’s time to begin preparing for a potentially large correction ahead. Read More…

Speaking Tour

Speaking Engagement Jan 2nd!

I’ll be kicking off the trading New Year with the Austin Association of Financial Traders (AAFT) on Wednesday January 2nd as the featured guest speaker…and you’re invited!


Subscribe by RSS Email/Share Page TweetEnter your E-mail address to subscribe to DailyMarkets.com for FREE Recent Articles By Frank Ochoa:S&P 500 2013 Outlook: Massive Correction Ahead?Speaking Engagement Jan 2nd!A NASDAQ 100 Breakout?Happy Holidays! (Save On EVERY Product!)Sell Resistance In This E-MiniAll Articles By Frank Ochoa »

Leave A Comment :

Click here to cancel "reply". Name (required) E-mail (required - never shown publicly) Your Comment (smaller size | larger size) #mortgageSmallSearchForm{background:#2A3EA3;text-shadow:0px 1px 1px rgba(255, 255, 255, 0.1), 0px 1px 1px rgba(0, 0, 0, 0.8);padding:10px;width:auto;background:-moz-linear-gradient(-90deg, #2A3EA3, #596CBB);background:-webkit-gradient(linear, 0% 0%, 0% 100%, from(#2A3EA3), to(#596CBB));background:-khtml-gradient(linear, 0% 0%, 0% 100%, from(#2A3EA3), to(#596CBB))}#mortgageSmallSearchForm h1, #mortgageSmallSearchForm h1 a, #mortgageSmallSearchForm h1 a:visited, #mortgageSmallSearchForm h1 a:hover{font:bold 18px "Lucida Grande",Arial;line-height:23px;text-decoration:none;color:#fff}#mortgageSmallSearchFormh1{background:none;height:auto;padding:00 10px;margin:0;display:block;float:none;text-transform:none}#mortgageSmallSearchForm, div.mortgage_search_button, #mortgageSmallSearchForminput{webkit-box-shadow:0px 1px 1px rgba(255, 255, 255, 0.6), 0px 1px 1px rgba(0,0,0,0.1);border-radius:6px;-moz-border-radius:6px;-webkit-border-radius:6px;-khtml-border-radius:6px}.zipcode,.zipcode-msg{font:bold 18px/23px "Lucida Grande",Arial;border:none;background:#E2EDFF;width:100%;padding:2px;margin:010px 0 0}.zipcode-msg{color:#aaa}#mortgage_search_button{font:bold 18px Arial;padding:5px10px;background-color:#F60;text-transform:uppercase;background:-moz-linear-gradient(-90deg, #FFC600, #FF6600);background:-webkit-gradient(linear, 0% 0%, 0% 100%, from(#FFC600), to(#FF6600));background:-khtml-gradient(linear, 0% 0%, 0% 100%, from(#FFC600), to(#FF6600));border:1pxsolid #AE4600;margin:1px4px 1px 0;width:100%;display:block;color:#fff}Best Mortgage Rates Best Credit CardsDiscover It CardChase FreedomBlue Cash EverydayChase SapphireAmerican Express Platinum CardUnited Credit CardDelta Credit CardBritish Airways CardBlue Cash PreferredCapital One VentureDiscover Card - 18 Month Balance TransferChase Sapphire PreferredRitz-Carlton Rewards Credit CardCiti Diamond Preferred CardAmerican Express Premier Rewards Gold CardStarwood Preferred GuestAmerican Express Gold CardCiti DividendCapital One Secured Credit CardHilton RewardsChase Ink Credit CardCredit Card RewardsMore Credit Card ReviewsCredit Card TypesBest Credit CardsBest Rewards CardCash Back Credit CardsBest American Express CardBalance Transfer Credit CardsBusiness Credit CardsCapital One CardsCitiCardsChase Credit CardsDiscover CardCapital One Business Credit CardBest Visa Credit CardInsuranceCompare Insurance RatesCar Insurance QuotesOffersBest Tax Filing SoftwareTurbotax ReviewCitibank Checking Account ReviewFree Netflix TrialBroker ReviewsOptionsXpress ReviewScottrade ReviewRecent CommentsJai on Medical School Acceptance Rates, 2008-2010Adam Feldman on Chase Freedom Credit Card Review – $100 BonusHoward on American Express Platinum Card Secrets RevealedLeo on American Express Pass Card – Prepaid Card Reviewwhitney on Capital One Secured Credit Card Review#insurance-search{width:242px;height:130px;background:#EBF4FF;border:4pxsolid #7FB325;position:relative;margin:20pxauto}#insurance-searchh2{font:bold 13px arial;text-transform:uppercase;color:#000;position:absolute;left:10px;top:5px}#insurance-searchselect#statecode{position:absolute;left:10px;top:40px;width:200px}#insurance-searchselect#instype{position:absolute;left:10px;top:65px;width:200px}#insurance-searcha#submitlink{position:absolute;display:block;font:bold 13px arial;color:#fff;left:10px;top:90px;background:#F20000;padding:2px4px;border:1pxsolid #222}#insurance-search div#by-dm-ins{position:absolute;display:block;font:normal 9px arial;color:#7FB325;right:5px;top:118px}Compare Insurance QuotesBy DailyMarkets.comCar InsuranceLife InsuranceHealth InsuranceHome Insurance Choose State...AlaskaAlabamaArkansasArizonaCaliforniaColoradoConnecticutWashington D.C.DelawareFloridaGeorgiaHawaiiIowaIdahoIllinoisIndianaKansasKentuckyLouisianaMassachusettsMarylandMaineMichiganMinnesotaMissouriMississippiMontanaNorth CarolinaNorth DakotaNebraskaNew HampshireNew JerseyNew MexicoNevadaNew YorkOhioOklahomaOregonPennsylvaniaRhode IslandSouth CarolinaSouth DakotaTennesseeTexasUtahVirginiaVermontWashingtonWisconsinWest VirginiaWyoming
Get Quotes Now »CREDIT CARDSLow Interest Credit CardsBalance Transfer CardsCash Back Credit CardsInstant Approval CardsBusiness Credit CardsRewards Credit CardsAirline Credit CardsTravel Credit CardsGas Credit CardsStudent Credit CardsExcellent Credit CardsGood Credit CardsFair Credit CardsBad Credit CardsMortgagesCD RatesForexForex BrokersForex OptionsForex BasicsForex ChartsCommoditiesEconomyStocksInvesting BasicsETFsAbout
Privacy Policy | Terms & Conditions