E-mini S&P 500 Index (ES) Futures Technical Analysis – In Position to Post Record High

March E-mini S&P 500 Index futures are trading nearly flat shortly before the cash market close. The benchmark index is being supported by a jump in technology shares as investors geared up for a busy week of earnings from mega-cap tech firms. The selling pressure is coming from a decline in Merck’s shares after the drugmaker ended its COVID-19 vaccine program.

At 20:40 GMT, March E-mini S&P 500 Index futures are trading 3836.25, up 2.00 or +0.05%.

E-mini S&P 500 Index futures fell earlier in the session following news that Merck & Co Inc would stop development of its two COVID-19 vaccines citing inferior immune responses. The drugmaker’s shares fell 1%.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 3859.75 will signal a resumption of the uptrend. The main trend will change to down on a move through 3740.50.

The minor range is 3740.50 to 3859.75. Its retracement zone at 3800.00 to 3786.00 is support. This area stopped the selling at 3788.50 earlier in the session.

The second minor support is 3756.00. The third minor support is 3727.75. If the main trend changes to down then 3660.75 will become a major downside target.

Short-Term Outlook

We’re looking for an upside bias into the close as long as the Fibonacci level at 3786.00 remains support.

A sustained move over Friday’s close at 3834.25 will indicate the buying is getting stronger into the close. If this creates enough upside momentum then look for a possible rally through the main top at 3859.75. This will reaffirm the uptrend.

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