E-mini Dow Jones Industrial Average (YM) Futures Analysis – August 8, 2018 Forecast

September E-mini Dow Jones Industrial Average futures are trading lower shortly after the cash market opening. After trading steady during the pre-market session, sellers started to take control after China announced tariffs on U.S. crude oil. This pressured crude oil stocks in the Dow average.

Daily Technical Analysis

The main trend is up according to the daily swing chart. The market is trading inside yesterday’s range which suggests investor indecision and impending volatility.

A trade through 25661 will signal a resumption of the uptrend. A move through 25087 will change the main trend to down.

The short-term range is 25087 to 25661. Its retracement zone at 25374 to 25306 is the first support zone. Since the main trend is up, look for a technical bounce on the first test of this zone.

Daily Technical Forecast

Based on the early trade, the direction of the September E-mini Dow Jones Industrial Average on Wednesday is likely to be determined by trader reaction to the steep uptrending Gann angle at 25599.

A sustained move over 25599 will signal the presence of buyers. If this brings in enough buyers, we could see a test of 25661. Taking out this level could create enough upside momentum to continue the rally with the February 27 main top at 25868 the next major target.

A sustained move under 25599 will indicate the presence of sellers. This is a potential trigger point for an acceleration to the downside with the next targets a 50% level at 25374, an uptrending Gann angle at 25343 and a Fibonacci level at 25306.