E-mini S&P 500 Index (ES) Futures Technical Analysis – Hovering Within Striking Distance of All-Time High

September E-mini S&P 500 Index futures are inching higher on low pre-market volume shortly before the cash market opening on Monday. The price action is a little subdued as retailers prepared to wind down a better-than-feared quarterly earnings season, while the countdown to Election Day was set to begin with the Democratic National Convention kicking off later in the day.

At 12:27 GMT, September E-mini S&P 500 Index futures are trading 3374.25, up 12.75 or +0.38%.

The benchmark S&P 500 ended Friday below its pre-pandemic record closing high as a Wall Street rally lost steam with a clutch of data pointing to a wobbly recovery for the world’s biggest economy.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 3382.50 will signal a resumption of the uptrend. The main trend will change to down on a move through the nearest swing bottom at 3195.00.

Due to the prolonged move up in terms of price and time from the last main bottom, the market begins today’s session inside the window of time for a possible closing price reversal top.

The minor trend is also up. A trade through 3319.50 will change the minor trend to down. This will also shift momentum to the downside.

The minor range is 3382.50 to 3319.50. Its 50% level at 3351.00 is potential support, but also a potential trigger point for an acceleration to the downside.

The short-term range is 3195.00 to 3382.50. If the minor trend changes to down then look for the selling to possibly extend into its retracement zone at 3288.75 to 3266.50.

Daily Swing Chart Technical Forecast

Based on the early price action, the direction of the September E-mini S&P 500 Index the rest of the session on Monday is likely to be determined by trader reaction to the 50% level at 3351.00.

Bullish Scenario

A sustained move over 3351.00 will indicate the presence of buyers. If this creates enough upside momentum then look for buyers to try to take out 3382.50 with the all-time high at 3396.50 the next likely upside target.

Bearish Scenario

A sustained move under 3351.00 will signal the presence of sellers. This could trigger an acceleration into the minor bottom at 3319.50. If this level fails then momentum will shift to the downside with the next likely target the short-term 50% level at 3288.75.

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