E-mini S&P 500 Index (ES) Futures Technical Analysis – April 20, 2018 Forecast

June E-mini S&P 500 Index futures are trading nearly flat shortly before the cash market opening. Traders are expressing concerns over rising interest rates.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, momentum may be getting ready to shift to the downside with the formation of a new minor top at 2718.50. A trade through this level will signal a resumption of the uptrend.

The major upside target is a retracement zone at 2707.75 to 2749.25. This zone was tested on Wednesday and Thursday and proved to be resistance.

The main range is 2807.25 to 2552.00. Its 50% level or pivot is 2679.50. This level is currently acting like support.

The short-term range is 2552.00 to 2718.50. If the sell-off begins to gain traction we could see a break into its retracement zone at 2635.25 to 2615.50.

Daily Swing Chart Technical Forecast

Based on the early trade, the direction of the index the rest of the session is likely to be determined by trader reaction to the 50% level at 2679.50.

A sustained move over 2679.50 will indicate the presence of buyers. If this generates enough upside momentum then look for a rally back to 2707.75. Overcoming this level will indicate the buying is getting stronger. Taking out 2718.50 will signal a resumption of the uptrend. This could trigger an acceleration to the upside with 2749.25 the next major upside target.

A sustained move under 2679.50 will signal the presence of sellers. This is the trigger point for an acceleration to the downside with 2635.25 the next major downside target.