E-mini S&P 500 Index (ES) Futures Technical Analysis – First Key Downside Target Zone 2827.25 to 2818.75

Geopolitical tensions are driving September E-mini S&P 500 Index futures lower on Friday, shortly before the cash market opening.

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. The main trend will change to down on a move through 2791.00.

The short-term range is 2791.00 to 2863.75. Its retracement zone at 2827.25 to 2818.75 is the first downside target.

The main range is 2693.25 to 2863.75. If the trend changes to down then look for a further break into its retracement zone at 2778.50 to 2755.25.

Daily Technical Forecast

Based on the early trade, the direction of the September E-mini S&P 500 Index today is likely to be determined by trader reaction to the uptrending Gann angle at 2839.00.

A sustained move over 2839.00 will indicate the presence of buyers. If this move generates enough upside momentum, we could see a retest of 2863.75. Breaking out over this top could trigger an acceleration to the upside with 2889.00 the next likely upside target.

A sustained move under 2839.00 will signal the presence of sellers. This move could drive the index into the 50% level at 2827.25, followed by the Fibonacci level at 2818.75. Buyers could show up on a pullback into this area since the main trend is up.

If 2818.75 fails then look for the selling to extend into a pair of uptrending Gann angles at 2815.00 to 2813.25. Watch for a technical bounce on the first test of this area. The selling will extend into 2803.00 then 2791.00 if these angles fail as support.