E-mini S&P 500 Index (ES) Futures Technical Analysis – June 26, 2017 Forecast

September E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. The index is also trading higher than the highs of the last three days, giving the index a slight upside bias.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2451.50 will signal a resumption of the uptrend. A move through 2412.50 will change the trend to down.

For short-term traders, a move through 2428.00 will change the minor trend to down. This is followed by another minor bottom at 2416.25 and the main bottom at 2412.50.

The intermediate range is 2412.50 to 2451.50. Its 50% level or pivot is 2432.00. This price provided support earlier in the session.

The short-term range is 2451.50 to 2428.00. Its 50% level or pivot is 2439.75. The market is currently inching above this level.

Forecast

Based on the current price at 2442.00, the direction of the index today is likely to be determined by trader reaction to the short-term 50% level at 2439.75.

A sustained move over 2439.75 will signal the presence of buyers. This could drive the index into the long-term uptrending angle at 2445.75. Overtaking this angle will mean the buying is getting stronger. This could trigger a further rally through the top at 2451.50 then the uptrending angle at 2456.50. Crossing to the strong side of this angle will put the index in a bullish position.

A failure to hold above 2439.75 will indicate the presence of sellers. This could trigger a move into the next 50% level at 2432.00. Taking out this level could lead to a stair-step break with potential support levels at 2428.00, 2416.25 then 2412.50.

Basically we’re looking for a strong upside bias to develop on a sustained move over 2439.75 and for a downside bias to develop on a sustained move under 2432.00.