E-mini S&P 500 Index (ES) Futures Technical Analysis – February 28, 2019 Forecast

March E-mini S&P 500 Index futures are trading lower shortly after the cash market opening. The market is showing a limited response to the better-than-expected U.S. Advance GDP report. It showed the economy grew 2.6% versus a 2.6% forecast. Putting a lid on the market earlier in the session were concerns over U.S.-China trade negotiations and the abrupt ending of the U.S.-North Korea nuclear talks.

At 14:46 GMT, March E-mini S&P 500 Index futures are trading 2792.75, down 2.75 or -0.11%.

Daily Technical Analysis

The main trend is up. A trade through 2814.00 will signal a resumption of the uptrend. The main trend will change to down on a move through 2729.00.

The minor trend is also up. A trade through 2764.25 will change the minor trend to down. This will also shift momentum to the downside.

The short-term range is 2729.00 to 2814.00. Its retracement zone at 2771.50 to 2761.50 is the primary downside target. Since the main trend is up, buyers could come in on a test of this zone.

Daily Technical Forecast

Based on the early price action and the current price at 2792.75, the direction of the March E-mini S&P 500 Index is likely to be determined by trader reaction to a pair of uptrending Gann angles at 2793.00 and 2784.75.

Bullish Scenario

Holding above 2784.75 will indicate the presence of buyers. However, taking out 2793.00 is likely to trigger an acceleration to the upside with the next target angle dropping in at 2802.00. Look for sellers on the first test of this angle. Overcoming it could drive the index into the next downtrending Gann angle at 2808.00. This is the last potential resistance angle before the 2814.00 main top.

Bearish Scenario

The failure to overcome 2793.00 will signal the presence of sellers. However, a sustained move under 2784.75 will indicate the selling is getting stronger. This could trigger an acceleration to the downside and a potential steep decline into the 50% level at 2771.50. Look for a technical bounce on the first test of this level. If it fails then look for the selling to possibly extend into the support cluster at 2761.50 to 2761.00.