E-mini S&P 500 Index (ES) Futures Technical Analysis – June 28, 2017 Forecast

September E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. The market is mounting a comeback after failing to take out a significant bottom at 2412.50. It’s now in retracement mode.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2412.50 turns the main trend to down. This is the last major bottom before the 2341.75 main bottom from May 18.

The short-term range is 2412.50 to 2451.50. Its 50% level or pivot is 2432.00. This is the first upside target today. The current upside momentum strongly suggests that this level will be tested. If the buying stops once we reach this price then we could straddle the pivot all session.

The main range is 2341.75 to 2451.50. Its retracement zone at 2396.50 to 2383.75 will become the primary downside target if the selling resumes.

Forecast

Based on the current price at 2427.50, the direction of the index today will be determined by trader reaction to the downtrending angle at 2423.50.

Holding above 2423.50 will give the index an early upside bias with the pivot at 2432.00 the first target price.

Overcoming 2432.00 will indicate the buying is getting stronger with a downtrending angle at 2437.50 the next target. This is a potential trigger point for an acceleration into the next downtrending angle at 2444.50. This angle stopped the rally on Monday.

The last resistance angle before the 2451.50 main top is 2448.00.

Falling back below the downtrending angle at 2423.50 and sustaining the move will indicate the presence of sellers. This could lead to a retest of 2413.75.

If 2413.75 fails as support then look for a further break into the main bottom at 2412.50. The trend will change to down on a breakdown under this bottom. This could trigger a move into a long-term uptrending angle followed by the main 50% level at 2396.50.

Look for a bullish tone as long as the index remains over 2423.50.