Jest gives error: SyntaxError: Cannot use import statement outside a module

He people, I am struggling a lot with this error today as I need to set up my environment to start Testing my components using Jest and Testing Library This is my error and I tried a lot of things but it doesn't seem to work.

 ({"Object.<anonymous>":function(module,exports,require,__dirname,__filename,global,jest){import React from 'react';
                                                                                             ^^^^^^

    SyntaxError: Cannot use import statement outside a module

This is package.json

"scripts": { "test": "jest", } "devDependencies": { "@babel/plugin-syntax-jsx": "^7.12.1", "@babel/preset-react": "^7.12.5", "@testing-library/jest-dom": "^5.11.5", "@testing-library/react": "^11.1.1",

This is my webpack.config.js

module: {
  rules: [
    {
      test: /\.(js|jsx)?$/,
      exclude: /node_modules/,
      loader: 'babel-loader',
      query: {
        presets: ['react', 'es2015', 'stage-2']
      }
    },
  resolve: {
      extensions: ['.js', '.jsx'],
      alias: {
        querystring: 'querystring-browser'
      }
    },

Also is there anything needs to be done to yarn.lock file?? As I just found out it. I will appreciate any help.