E-mini Dow Jones Industrial Average (YM) Futures Analysis – February 12, 2016 Forecast

March E-mini Dow Jones Industrial Average futures are called higher based on the pre-market trade. Better conditions in Asia and Europe gave the market an early boost, but the market is also being supported by better-than-expected U.S. retail sales news.

The main trend is down according to the daily swing chart. However, momentum may be shifting to the upside and there may be a possible secondary higher bottom forming at 15452.

The main range is 15365 to 16426. Its retracement zone at 15770 to 15896 is currently being tested.

The short-term range is 16426 to 15452. Its retracement zone at 15939 to 16054 is the primary upside target.

Based on yesterday’s close at 15612 and the earlier price action, the direction of the market today will likely be determined by trader reaction to the uptrending angle at 15637.

The next level to watch is the Fib level at 15770. Overtaking this level could drive the market into a downtrending angle at 15850. This is another potential trigger point for a breakout into a pair of 50% levels at 15896 and 15939.

Taking out 15939 with conviction could produce a 100 point rally with the next major target 16054.

Based on the current price at 15772, the direction of the market during the regular session will likely be decided by trader reaction to the Fib level at 15770.

Watch the price action and read the order flow at 15770 shortly after the opening. This will tell us if the bulls or the bears are in control.