E-mini Russell 2000 Index (TF) Futures Technical Analysis – November 12, 2015 Forecast

December E-mini Russell 2000 Index futures are called steady-to-lower shortly before the cash market opening. Volatility and volume could pick up during the regular session opening since investors will get the opportunity to react to comments from Fed members.

If the Fed members are hawkish then bearish investors may not wait until tomorrow’s retail sales report before getting short.

Technically, the main trend is up according to the daily swing chart. The main range is 1134.90 to 1201.20. Its retracement zone at 1168.00 to 1160.20 is the primary downside target.

Based on yesterday’s close at 1174.70, the key angle to watch is at 1177.20.

A sustained move over 1177.20 will indicate the presence of buyers. The next upside target is a major 50% level at 1180.60. This is followed closely by an uptrending angle at 1182.90.

Overtaking 1182.90 will put the index in a strong position. This could create enough upside momentum to challenge a series of downtrending angles at 1189.20, 1195.20 and 1198.20. The latter is the last potential resistance angle before the 1201.20.

A sustained move under 1177.20 will signal the presence of sellers. The first downside objective is the 50% level at 1168.20. While there may be a technical bounce on the first test of this level, it is also a trigger point for an acceleration to the downside with the Fibonacci level at 1160.40 the next major target. This is followed by an uptrending angle at 1158.90.

Watch the price action and read the order flow at 1177.20 today. Trader reaction to this angle will tell us whether the bulls or the bears are in control.