E-mini Dow Jones Industrial Average (YM) Futures Analysis – February 7, 2018 Forecast

March E-mini Dow Jones Industrial Average futures are trading higher shortly after the opening. The market continues to recover following Tuesday’s closing price reversal bottom.

Daily Technical Analysis

The main trend is down according to the daily swing chart. However, momentum shifted back to the upside with the formation of a closing price reversal bottom on Tuesday and today’s follow-through to the upside.

The main support is a retracement zone at 24405 to 23866, followed by yesterday’s low at 23088.

The short-term range is 26684 to 23088. Its retracement zone is 24886 to 25310. This zone is controlling the direction of the market today.

Daily Forecast

The key area to watch today is the price cluster formed by the short-term 50% level at 24886 and the steep downtrending Gann angle at 24892.

Overcoming this price cluster triggered today’s steep rally. Taking out the Fibonacci level at 25310 will indicate the buying is getting stronger. This could trigger a rally into the downtrending Gann angle at 25788. The rally could expand on a move through 25788 with the next target angle coming in at 26236.

A sustained move under 24886 will signal the presence of sellers. This could drive the Dow back into a Fib level at 23866, followed by 23088.