E-mini Russell 2000 Index (TF) Futures Technical Analysis – June 11, 2014 Forecast

The June E-mini Russell 2000 Index is testing the lower level of a downtrending channel in the pre-market session. The upper level of the channel is 1175.20. The lower level being tested is 1167.60. Taking out this price should lead to a quick test of a steep uptrending angle at 1164.00. The tone of the market today should be determined by how investors react to a test of 1164.00.

The daily chart indicates there is plenty of room to the downside. The first potential target is an uptrending angle at 1150.70, followed by another angle at 1140.00.

Based on the short-term range of 1116.00 to 1180.40, the retracement zone at 1148.20 to 1140.60 is also a potential downside target. The last uptrending angle actually forms a potential support cluster with the lower or Fibonacci level at 1140.60. This makes this area a valid downside target.

Look for a downside bias today if 1164.00 is taken out with increasing volume. Crossing over 1175.20 will change the sentiment back to up.