E-mini S&P 500 Index (ES) Futures Analysis – April 25, 2013

The June E-mini S&P 500 Index is trading higher in pre-market trading. The news that Exxon (XOM) earned $9.5 billion during the first quarter, up from $9.45 billion in the first quarter of 2012 is helping to underpin the index, but traders are primarily focused on the drop in the U.S. Dollar.

The Greenback fell sharply against the British Pound after the U.K. reported better-than-expected quarterly economic growth. The weakening dollar is triggering an increase in demand for higher risk assets, sending global equity markets higher.

An unexpected drop in U.S. weekly jobless claims is also helping to boost prices. The lack of major economic reports today means that traders will be focused on earnings. Today, investors will get the opportunity to react to reports from Amazon (AMZN), Starbucks (SBUX) and 3M (MMM).

Technically, the June E-mini S&P 500 continues to grind higher after a successful test of an uptrending Gann angle at 1570.75. This angle is controlling the strength and direction of the market. It is moving up at a pace of 8.00 points per day.

On the upside, the first target is a downtrending Gann angle at 1583.00. Sustaining a move above this level could trigger a further rally to 1588.00. This is followed by the April top at 1593.00.