E-mini S&P 500 Index (ES) Futures Technical Analysis – July 12, 2018 Forecast

September E-mini S&P 500 Index futures are called higher based on the pre-market trade. Investors are setting aside concerns over the trade dispute between the United States and China, the threat of rising interest rates and crude oil volatility, and focusing on earnings and revenue reports today.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2797.75 will signal a resumption of the uptrend. This could fuel an extension of the rally into the March 13 top at 2814.00. This will be further confirmation of the uptrend and a possible trigger point for an acceleration to the upside.

The minor trend is also up. Based on today’s price action, a trade through 2765.75 will change the minor trend to down.

The short-term range is 2797.75 to 2765.75. Its 50% level or pivot at 2781.75 is providing support shortly before the opening.

The main range is 2693.25 to 2797.25. If the minor trend changes to down then look for the selling to extend into its retracement zone at 2745.50 to 2733.00.

Daily Technical Forecast

Based on the early trade, the direction of the September E-mini S&P 500 Index is likely to be determined by trader reaction to the short-term pivot at 2781.75.

A sustained move over 2781.75 will signal the presence of buyers. This could lead to a test of 2797.75. Taking out this level could create the upside momentum needed to challenge 2814.00. Overtaking this level could drive the index into a long-term downtrending Gann angle at 2832.00.

A sustained move under 2781.75 will indicate the presence of sellers. This could drive the index into a downtrending Gann angle at 2775.00.

The key area to watch is the support cluster at 2765.75 to 2765.25. This area has to hold as support or we could see the start of a steep sell-off into 2745.50.