E-mini Russell 2000 Index (TF) Futures Technical Analysis – November 25, 2015 Forecast

December E-mini Russell 2000 Index futures muscled higher on Tuesday, continuing the counter-trend move which began on November 16 at 1130.00.

The main trend is down according to the daily swing chart. However, momentum is to the upside. Today is the seventh day up from the November 16 bottom, putting the index in the window of time for a potentially bearish closing price reversal top formation.

Based on Tuesday’s close at 1186.90, the direction of the market today is likely to be determined by trader reaction to the downtrending angle at 1189.20 and the uptrending angle at 1186.00.

A sustained move over 1189.20 will give the index a bullish bias with the next target a downtrending angle at 1195.20. This is the last potential resistance angle before the 1201.20 main top.

A sustained move under the uptrending angle at 1186.00 will signal the presence of sellers. The first two targets are a major 50% level at 1180.60 and a downtrending angle at 1177.20.

The daily chart opens up to the downside under 1177.20 with the next major target an uptrending angle at 1158.00.

Watch the price action and read the order flow at 1189.20 and 1186.00 today. Look for an upside bias to develop on a sustained move over 1189.20 and a downside bias to develop on a sustained move under 1186.00.