E-mini Dow Jones Industrial Average (YM) Futures Analysis – September 20, 2018 Forecast

December E-mini Dow Jones Industrial Average futures are trading higher shortly after the cash market opening. The catalyst behind the rally is the easing of tensions over the on-going trade spat between the United States and China.

Daily Technical Analysis

The main trend is up according to the daily swing chart. The trend will change to down on a move through 25991. Today’s session also begins with the market in the window of time for a closing price reversal top.

Daily Technical Forecast

Based on the early price action, the key support angle is 26503.

A sustained move over 26503 will indicate the presence of buyers. Taking out and sustaining a rally over 26570 will indicate the buying is getting stronger. A sustained move over this angle could generate the upside momentum needed to challenge the January top at 26709. There is no resistance over this level so the market could continue to accelerate to the upside.

A sustained move under 26503 will signal the presence of sellers. It was also put the Dow in a position to form a potentially bearish closing price reversal top. On an intraday basis, the first downside targets are a pair of short-term uptrending Gann angles at 26247 and 26232.

It’s all about momentum at this time. Support and resistance may have to take a backseat. So pay more attention to the chart patterns rather than the oscillators and indicators. They are lagging and coincidental anyway.