Nasdaq futures show a positive trend, indicating a period of stability after a prior rise. Understanding market structure and pricing is essential as global trading unfolds. From a daily viewpoint, Nasdaq December futures are following the main structure since the low in April. The recent dip is viewed as a brief pause in the upward trend, not a sign of weakness.

Upper Supply Reference Region

The upper supply reference region is important in the current risk scenario. If the price drops below this level, we might see a deeper correction, but it’s likely just a temporary setback. On a 15-minute chart, Nasdaq futures have maintained a clear intraday pattern since late November. Attempts to move above the upper structure faced rejection, showing that the market is still balanced. A key pivot point influences daily trading. Staying above this level keeps prices in the upper range, while dropping below could signal a downward rotation. If prices stabilize above the pivot, a test of the upper structure might occur. Our main concern is price behavior around these levels, rather than trying to predict market direction. Consolidations and rotations are normal after periods of growth, providing signals for future moves.

Overall Uptrend

Nasdaq futures are clearly in a strong uptrend, and the recent sideways movement seems more like a healthy break rather than a reason for concern. Recent economic data supports this view. The November 2025 jobs report showed the creation of 185,000 jobs, and the latest CPI data indicates inflation has moderated to a 2.8% annual rate. This suggests the market is digesting its gains before moving forward. Looking at the bigger picture, the bullish trend that started from the April 2025 low is still intact. The recent pullback from near 22,500 is a typical response after a strong rally, similar to pauses we observed during the 2023 growth. As long as critical long-term support holds, we see any dips as opportunities rather than a shift in the main trend. For traders, the recent high around 22,500 is a key level to monitor, acting as a supply area. If this level can’t be broken and maintained, we may see a deeper but still corrective drop toward established demand areas from early autumn. This would signal a structural rotation and offer better entry points for those following the larger uptrend. In the short-term, the market is balanced, trading within a defined range for the last couple of weeks. This consolidation has reduced implied volatility, with the VIX settling at a calm 14, indicating less apprehension about a significant decline. Such balanced trading typically follows periods of strong price movement. The important intraday level is the pivot point that separates the upper range from the lower one. Staying above this pivot keeps chances alive for another test of the highs. If it fails to hold, we may rotate down to the lower end of the range, potentially providing a good entry for long positions. Ultimately, we should pay attention to how the market reacts to these established levels rather than trying to forecast direction. These consolidation phases are part of finding the right price. As traders, we can use this framework to manage risk and spot opportunities as they come up. Create your live VT Markets account and start trading now.

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