E-mini Dow Jones Industrial Average (YM) Futures Analysis – August 15, 2017 Forecast

September E-mini Dow Jones Industrial Average futures are expected to open higher based on the early trade. Increased demand for higher risk is behind the rally as investors continue to discount the possibility that a peaceful solution to the crisis between the United States and North Korea will be reached.

Technical Analysis

The main trend is up according to the daily swing chart. Momentum is also trending higher with the market’s crossing to the bullish side of a short-term retracement zone at 22001 and 21961. These level are new support.

A trade through 22132 will signal a resumption of the uptrend. A move through 21790 will change the main trend to down.

The major support on the downside is a retracement zone at 21788 to 21707.

Forecast

Based on the current price at 22007, support is layered at 22001, 21972, 21961 and 21956.

After a brief test of an uptrending angle at 21918, the daily chart opens up to the downside with the next target angles coming in at 21854 and 21822. The latter is the last potential support angle before the 21790 main bottom.

A sustained move over 22001 will signal the presence of buyers. This could trigger a surge into a pair of downtrending angles at 22052 and 22092. The latter is the last potential resistance angle before the 22132 main top.

Basically, look for a bullish tone as long as the Dow holds 22001 and look for a bearish tone to develop on a sustained move under 21956.