E-mini S&P 500 Index (ES) Futures Technical Analysis – August 17, 2018 Forecast

September E-mini S&P 500 Index futures are expected to open lower based on the pre-market trade. Investors are primarily responding to the mixed trade in Asia and Europe, which is an indication of investor indecision.  The early inside move also suggests impending volatility.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2863.75 will signal a resumption of the uptrend. A move through 2791.00 will change the main trend to down.

The minor trend is also up. A trade through 2803.00 will change the minor trend to down.

The main range is 2791.00 to 2863.75. Its retracement zone at 2827.00 to 2818.75 is support.

The minor range is 2863.75 to 2803.00. Its retracement zone at 2840.50 to 2833.25 is currently being tested. Trader reaction to this zone could influence the direction of the market today.

Daily Technical Forecast

Based on the current price at 2837.25, the direction of the September E-mini S&P 500 Index today is likely to be determined by trader reaction to the Fib level at 2840.50 and the 50% level at 2833.25. Inside this zone is an uptrending Gann angle at 2835.00.

Trading inside 2840.50 to 2833.25 suggests investor indecision.

A sustained move over 2840.50 will signal the presence of buyers. This could lead to a test of a downtrending Gann angle at 2847.75. This Gann angle provided resistance earlier today and on Thursday.

Overtaking 2847.75 could trigger an acceleration to the upside with the next target angle coming in at 2855.75. This is the last major resistance angle before the 2863.75 main top.

A sustained move under 2833.25 will indicate the presence of sellers. This could trigger a spike into the next 50% level at 2827.25. This is the trigger point for an acceleration into the Fibonacci level at 2818.75. This is followed closely by an uptrending Gann angle at 2813.00.

Basically, look for the index to strengthen over 2840.50 and weaken under 2833.25.