E-mini Dow Jones Industrial Average (YM) Futures Analysis – March 22, 2018 Forecast

June E-mini Dow Jones Industrial Average futures are expected to open sharply lower based on the pre-market trade. Concerns over social media giant Facebook and trade wars over expected sanctions against China are weighing on prices today.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. The market is in no position to turn the main trend to up, but it is in the window of time for a possible closing price reversal bottom. A trade through 24461 will signal a resumption of the downtrend. This could lead to a move into the next main bottom at 24233.

The minor trend is also down. A trade through 24998 will change the minor to up. Taking out 24461 will signal a resumption of the minor trend.

Daily Swing Chart Technical Forecast

Based on the current price at 24526 and the early price action, the direction of the Dow the rest of the session is likely to be determined by trader reaction to the major 50% level at 24477.

Holding above 24477 will indicate that aggressive counter-trend buyers are coming in to support the market. If this generates enough upside momentum, we could see a retest of 24923 then 24998.

A sustained move under 24477 will signal the presence of sellers. This should lead to a quick test of the low of the week at 24461. This is a possible trigger point for an acceleration to the downside.

If selling volume increases on a move through 24461 then watch for a possible plunge into 24233 to 24157.

The daily chart indicates there is plenty of room to the downside if 24461 is taken out with conviction.