E-mini S&P 500 Index (ES) Futures Technical Analysis – April 25, 2018 Forecast

June E-mini S&P 500 Index futures are trading higher shortly after the cash market opening. Traders are trying to establish new support inside a retracement zone following yesterday’s reversal and steep sell-off.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. The index has been trading lower for five sessions but all it’s done is complete a normal retracement of the recent 12 session rally.

A trade through 2718.50 will signal a resumption of the uptrend. A move through 2616.00 will signal a shift in momentum to the downside. The actual trend will change to down on a trade through 2552.00.

The main range is 2552.00 to 2718.50. Its retracement zone is 2635.25 to 2615.50. This zone is currently being tested. Trader reaction to this zone will determined the direction of the market today.

The short-term range is 2718.50 to 2616.00. If there is a rally then its 50% level at 2667.25 will become the primary upside target. This is followed by another 50% level at 2679.75.

Daily Swing Chart Technical Forecast

Based on the early trade, the direction of the index today is likely to be determined by trader reaction to 2635.25 and 2615.50.

A sustained move over 2635.25 will signal the presence of buyers. If this move generates enough upside momentum, we could see a rally into at least 2667.25.

A sustained move under 2615.50 will indicate the presence of sellers. The daily chart indicates there is plenty of room to the downside so we could see the start of an acceleration into 2584.50, followed by 2559.50 then 2552.00.