E-mini Dow Jones Industrial Average (YM) Futures Technical Analysis – 34381 Pivot Sets Early Tone on Thursday

September E-mini Dow Jones Industrial Average futures are trading higher shortly before the close on Wednesday. Its inside trading range suggests investor indecision and impending volatility. The Dow traded mostly sideways early in the session, but mounted a comeback rally after the Federal Reserve released minutes from its latest meeting that largely confirmed market expectations.

At 20:47 GMT, September E-mini Dow Jones Industrial Average futures are trading 34579, up 119 or +0.35%.

At a mid-June meeting, Fed officials said substantial further progress on economic recovery “was generally seen as not having yet been met,” though participants expected progress to continue, according to the minutes.

Supporting the Dow was a 1.8% gain in shares of Apple. Pressuring the blue chip average were energy stocks and bank shares.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 34755 will negate a closing price reversal top and signal a resumption of the uptrend. A move through 34241 will confirm the closing price reversal top, while shifting momentum to the downside. The main trend will change to down on a move through 34006.

The minor range is 34006 to 34755. Its pivot at 34381 is potential support.

The short-term range is 34883 to 32902. Its retracement zone at 34126 to 33893 is controlling the short-term direction of the Dow.

The main range is 31842 to 34883. If the main trend changes to down then its retracement zone at 33363 to 33004 will become the primary downside target.

Daily Swing Chart Technical Forecast

The direction of the September E-mini Dow Jones Industrial Average early Thursday is likely to be determined by trader reaction to 34381.

Bullish Scenario

A sustained move over 34381 will indicate the presence of buyers. The first target is 34755. Taking out this level could create the upside momentum needed to challenge the record high at 34883.

Bearish Scenario

A sustained move under 34381 will signal the presence of sellers. If this generates enough downside momentum then look for the selling to possibly extend into 34126 to 33893.