{"id":436590,"date":"2026-08-20T12:40:20","date_gmt":"2026-08-20T05:40:20","guid":{"rendered":"https:\/\/www.swingfish.trade\/blog\/market-news\/chart-of-the-day-is-the-nasdaq-breakout-retesting-or-failing-436590\/"},"modified":"2026-08-20T12:40:20","modified_gmt":"2026-08-20T05:40:20","slug":"chart-of-the-day-is-the-nasdaq-breakout-retesting-or-failing","status":"publish","type":"post","link":"https:\/\/www.swingfish.trade\/blog\/market-news\/chart-of-the-day-is-the-nasdaq-breakout-retesting-or-failing-436590\/","title":{"rendered":"Chart of the day: Is the Nasdaq breakout retesting or failing?"},"content":{"rendered":"<div>\n<p>Nasdaq futures are testing the upper boundary of the descending channel that has contained price since June. With NQ near 29,616, the key question is whether the 29,500-29,600 area becomes support or whether price falls back inside the channel.<\/p>\n<p>Key takeaways for Nasdaq traders<\/p>\n<ul>\n<li>\n<p>Constructive scenario: NQ holds above the channel and resumes higher.<\/p>\n<\/li>\n<li>\n<p>Main risk: A daily close back inside the channel would warn of a failed breakout.<\/p>\n<\/li>\n<li>\n<p>Upside test: The recent 30,000-30,200 resistance area.<\/p>\n<\/li>\n<li>\n<p>Downside risk: A failed breakout could expose 29,000, followed by 28,700-28,800.<\/p>\n<\/li>\n<\/ul>\n<p>Why this Nasdaq retest matters (NQ daily chart)<\/p>\n<\/p>\n<p>NQ broke above the descending trendline after recovering sharply from the late-July low near 27,250. Price has now returned to the same trendline, creating a classic breakout test.<\/p>\n<p>A successful retest happens when previous resistance becomes support. Buyers defend the trendline, price holds above it and the market begins moving higher again.<\/p>\n<p>A failed breakout would look different. NQ would fall back inside the channel and remain there, potentially trapping traders who bought the initial move above resistance.<\/p>\n<p>Importantly, the current daily candle is still open. A temporary move around the trendline is not enough to settle the question. The daily close, followed by how price reacts during the next session, should provide more useful evidence.<\/p>\n<p>Nasdaq futures levels to watch<\/p>\n<p>What would confirm each scenario?<\/p>\n<p>Holding above 29,500-29,600, especially after a brief dip and recovery, would strengthen the argument that this is a healthy retest. Buyers could then challenge 30,000-30,200, with the major high near 30,975 becoming relevant only if that resistance is cleared.<\/p>\n<p>A daily close decisively back below the channel would shift the interpretation toward a failed breakout. That would not guarantee a major selloff, but it would weaken the recovery and increase the probability of another rotation toward lower support.<\/p>\n<p>This analysis is based on Nasdaq futures. Traders using QQQ, CFDs or options should treat these levels as market-structure references because prices differ between instruments. More Nasdaq chart updates are available in the <a href=\"https:\/\/investinglive.com\/Tag\/nasdaq-technical-analysis\/\" rel=\"follow\">investingLive Nasdaq technical analysis archive<\/a>.<\/p>\n<p>I&#8217;m also  tracking <a href=\"https:\/\/investinglive.com\/cryptocurrency\/bitcoin-nears-70k-but-ethereum-s-eight-hour-breakout-reveals-the-bigger-crypto-shift\/\" target=\"_blank\" rel=\"noopener\">Ethereum&#8217;s explosive volume-profile breakout across its six-month range<\/a> as broad crypto risk appetite expands beyond Bitcoin&#8217;s push toward the $70,000 zone. <\/p>\n<p>Meanwhile, equity markets are navigating headwinds from elevated yields, with Greg Michalowski from investingLive.com noting that <a href=\"https:\/\/investinglive.com\/technical-analysis\/us-stock-indices-closed-lower-on-the-day-declines-are-led-by-the-s-p-down-with-declines-near-0-50\/\" target=\"_blank\" rel=\"noopener\">major U.S. stock indices pulled back from record highs<\/a> amid rising crude prices and mounting Treasury yields. <\/p>\n<p>That pressure has carried over into subsequent trading, as Justin Low at investingLive.com highlighted that <a href=\"https:\/\/investinglive.com\/stocks\/us-futures-nudge-lower-on-the-day-tech-shares-lead-declines\/\" target=\"_blank\" rel=\"noopener\">U.S. futures nudged lower with tech and chipmakers leading the retreat<\/a> ahead of critical retail earnings.<\/p>\n<p>Trade at your own risk. The important signal is not simply touching the trendline, but whether buyers can defend it.<\/p>\n<p>                            This article was written by Itai Levitan at investinglive.com.<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Nasdaq futures are testing the upper boundary of the descending channel that has contained price since June. With NQ near 29,616, the key question is whether the 29,500-29,600 area becomes support or&hellip;<\/p>\n","protected":false},"author":216,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86],"tags":[],"class_list":["post-436590","post","type-post","status-publish","format-standard","hentry","category-market-news"],"_links":{"self":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/436590","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/users\/216"}],"replies":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/comments?post=436590"}],"version-history":[{"count":0,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/436590\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/media?parent=436590"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/categories?post=436590"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/tags?post=436590"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}