E-mini Dow Jones Industrial Average (YM) Futures Analysis – December 20, 2017 Forecast

March E-mini Dow Jones Industrial Average futures are called higher based on the early trade as investors await the final vote on tax reform. Investors appear to be shrugging off yesterday’s weakness, putting the market in a position to once again challenge record highs.

Daily Technical Analysis

The main trend up according to the daily swing chart. A trade through 24896 will signal a resumption of the uptrend. The Dow isn’t close to turning the main trend to down, but it remains in the window of time for a closing price reversal top.

The main range is 24086 to 24896. If the buying dries up and the selling picks up, we could see a short-term correction into 24491 to 24395.

Daily Technical Forecast

Based on the early trade, the key level to watch is a long-term uptrending Gann angle at 24662. Look for a bullish tone over the near-term as long as the Dow continues to hold above this angle. It is moving up at a rate of 64 points per day.

If the selling is strong enough to take out 24662 then look for the move to continue into the short-term uptrending Gann angle at 24662. This angle is also moving up 64 points per day from the 24086 main bottom.

The angle at 24662 is most important because if it fails as support on increased selling pressure, we could see an acceleration to the downside with 24491 the first major target.