E-mini S&P 500 Index (ES) Futures Technical Analysis – June 4, 2018 Forecast

June E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. Earlier today, the index took out a recent main top and is currently threatening to cross to the bullish side of a major retracement zone that has been providing resistance since March 19.

Daily Technical Analysis

The main trend is up according to the daily swing chart. Today’s trade through 2741.75 has reaffirmed the uptrend. A new main bottom has formed at 2675.00. The next upside objective is the March 13 main top at 2807.25.

The main range is 2883.25 to 2532.50. Its retracement zone is 2707.75 to 2749.25. The index is currently trading inside this zone, while in a position to challenge the upper of Fibonacci level at 2749.25. Crossing to the strong side of this retracement zone will put the index in a bullish position.

Daily Technical Forecast

Based on the early price action, the direction of the index today is likely to be determined by trader reaction to the steep uptrending Gann angle at 2739.00.

A sustained move over 2739.00 will indicate the presence of buyers. This could lead to a test of the resistance cluster at 2749.25 to 2750.25. Sellers could come in on the first test of this area.

Taking out the downtrending Gann angle at 2750.25 could trigger an acceleration to the upside with the next Gann angle target coming in at 2778.75.

A sustained move under 2739.00 will signal the presence of sellers. The daily chart is open under this angle with 2707.00 the next major target.

Basically, look for a strong upside bias to develop on a sustained move over 2750.25 and for a downside bias to develop on a sustained move under 2739.00.