E-mini S&P 500 Index (ES) Futures Technical Analysis – January 30, 2019 Forecast

March E-mini S&P 500 Index futures are expected to open higher based on the pre-market trade. The index is trading higher on the back of strong earnings reports earlier today. Investors are also looking for the U.S. Federal Reserve to come out dovish when it leaves its benchmark interest rate unchanged later in the day.

At 1317 GMT, March E-mini S&P 500 Index futures are trading 2653.75, up 13.50 or +0.51%.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2677.75 will signal a resumption of the uptrend. This will also make 2612.50 a new main bottom.

The minor trend is also up. A trade through 2672.50 will signal a resumption of the minor trend. A trade through 2612.50 will change the minor trend to down. This will also shift momentum to the downside with the next target the minor bottom at 2596.50.

The major retracement zone is 2636.00 to 2711.50. This zone is controlling the longer-term direction of the index.

If the minor trend changes to down then its retracement zone at 2558.00 to 2530.00 will become the primary downside target.

Daily Technical Forecast

Based on the current price at 2753.75 and the earlier price action, the direction of the March E-mini S&P 500 Index the rest of the session is likely to be determined by trader reaction to the major 50% level at 2636.00.

Bullish Scenario

A sustained move over 2636.00 will indicate the presence of buyers. If this creates enough upside momentum then look for a rally into the downtrending Gann angle at 2667.00. Overtaking this angle will indicate the buying is getting stronger with the next targets the minor top at 2672.50 and the main top at 2677.75.

Taking out 2677.75 will signal a resumption of the uptrend, while overtaking an uptrending Gann angle at 2684.00 will put the index in a bullish position.

Bearish Scenario

A sustained move under 2636.00 will signal the presence of sellers. The daily chart is wide open under this level until 2612.50 so watch for a potential acceleration to the downside. The next target is a minor bottom at 2596.50, followed by an uptrending Gann angle at 2574.50.