E-mini Dow Jones Industrial Average (YM) Futures Analysis – July 10, 2017 Forecast

September E-mini Dow Jones Industrial Average futures are pointed towards a lower opening on Monday after an early session rally failed to attract enough buyers to sustain the move.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 21508 will signal a resumption of the uptrend. The main trend changes to down on a trade through 21138.

The recent choppy price action has been triggered by trader reaction to a number of retracement levels.

The main range is 21065 to 21508. Its retracement zone is 21287 to 21234. This zone provided support twice last week.

The intermediate range is 21138 to 21508. Its retracement zone is 21323 to 21279.

The short-term range is 21508 to 21257. Its retracement zone at 21383 to 21412 stopped the rally earlier today.

Combining the retracement zones indicates potential support at 21287 to 21279.

Forecast

Based on the current price at 21354 and the earlier price action, the direction of the Dow today is likely to be determined by trader reaction to the 50% level at 21383.

A sustained move under 21383 will signal the presence of sellers. This could create enough downside momentum to challenge retracement levels at 21323 and the support cluster at 21287 to 21287.

If the support cluster fails then look for a move into 21234. This is the trigger point for a steep break into 21138.

A sustained move over 21383 will indicate the presence of buyers. This could lead to a quick move into 21412. This is the trigger point for an acceleration into 21508.

The chart pattern suggests the possibility of a choppy, two-sided trade today.