E-mini Dow Jones Industrial Average (YM) Futures Technical Analysis – April 23, 2019 Forecast

The blue chip E-mini Dow Jones industrial Average futures contract is trading slightly higher on Tuesday shortly after the cash market opening. The Dow remains inside yesterday’s trading range which suggests investor indecision and impending volatility. Investors seem to be reluctant to buy at current price levels ahead of several key earnings reports this week including Dow components Microsoft and Boeing.

At 14:01 GMT, June E-mini Dow Jones Industrial Average futures are trading 26559, up 46 or +0.17%.

Daily Technical Analysis

The main trend is up according to the daily swing chart, however, yesterday’s closing price reversal top has caused the rally to stall. A trade through 26629 will negate the closing price reversal top and signal a resumption of the uptrend. A move through yesterday’s low at 26448 will confirm the reversal top and could trigger the start of a 2 to 3 day counter-trend sell-off.

The minor trend is up. A trade through 26311 will change the minor trend to down. This will shift momentum to the downside.

The minor range is 26311 to 26629. Its 50% level or pivot at 26470 is holding up the market early Tuesday.

The main range is 26060 to 26629. If the pivot fails as support then look for a break into the next 50% level or pivot at 26307.

Daily Technical Forecast

Based on the early price action, the direction of the June E-mini Dow Jones Industrial Average futures contract the rest of the session will likely be determined by trader reaction to the uptrending Gann angle at 26508 and the pivot at 26470.

Bullish Scenario

A sustained move over 26508 will indicate the presence of buyers. If this move creates enough upside momentum then it will trigger a rally through 26629 and into another uptrending Gann angle at 26657. Overtaking this angle will put the market in a bullish position. This could trigger an acceleration to the upside with 26988 the next major target.

Bearish Scenario

A failure to hold above 26508 will be the first sign of weakness, but taking out the pivot at 26470 is likely to trigger an acceleration to the downside with the next targets another 50% level at 26307, followed by a pair of uptrending Gann angles at 26284 and 26238.