E-mini Dow Jones Industrial Average (YM) Futures Analysis – November 9, 2017 Forecast

Poor earnings in the retail sector are helping to drive the December E-mini Dow Jones Industrial Average sharply lower on Thursday. The sell-off has put the Dow lower for the week which suggests we may be seeing the start of the long-awaited correction.

Daily Technical Analysis

The main trend is up according to the daily swing chart. The trend isn’t close to turning down, but there is plenty of room for a correction.

A trade through 23557 will signal a resumption of the uptrend.

Earlier today, the minor trend turned down when sellers took out 23407. The next three minor bottoms come in at 23289, 23203 and 22951.

The short-term range is 22951 to 23557. If the selling pressure continues then look for a move into its retracement zone at 23254 to 23182.

The main range is 22174 to 23557. If a steep sell-off should occur then its retracement zone at 22866 to 22702 will become the primary downside target.

Daily Technical Forecast

Today’s price action is being driven by selling momentum. If the Dow continues to accelerate to the downside then look for the move to extend into the short-term retracement zone at 23254 to 23182. Inside this zone is a pair of uptrending Gann angles at 23230 and 23183, making them valid downside targets.

The levels between 23254 and 23182 form a solid support cluster. Given this information and the uptrend, traders should look for buyers to show up on a test of this area.

However, if 23182 fails as support, we could be looking at the start of a steep sell-off. The daily chart indicates there is plenty of room to the downside under 23182 with the next major target coming in at 22866.