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

December E-mini Dow Jones Industrial Average futures are trading higher shortly before the cash market opening. Earlier today, the Dow posted a new contract high.

Daily Technical Analysis

The main trend is up according to the daily swing chart. The Dow is not in a position to change the main trend to down, but it is in the window of time to post a potentially bearish closing price reversal top.

We’ve already had the higher-high, now all we need is a close under 22694 to form the chart pattern.

Last week’s high at 22744 is likely to act like a pivot today.

Daily Forecast

Based on the current price at 22747 and the earlier price action, the direction of the Dow today is likely to be determined by trader reaction to 22744.

A sustained move over 22744 will indicate the presence of buyers. This could create the upside momentum needed to drive the Dow into the nearest uptrending angle at 22814. Crossing to the bullish side of this angle will put the market in an extremely bullish position.

A sustained move under 22744 will signal the presence of sellers. The first target is Friday’s close at 22694. Crossing to the weak side of this price will indicate the selling is getting stronger.

The daily chart is wide open to the downside. If selling pressure increases, we could see an acceleration to the downside with a pair of uptrending angles at 22494 and 22451 the next potential targets.

We’re going to be watching for the trend to continue, or for the formation of a closing price reversal top.