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E-mini S&P 500 Index (ES) Futures Technical Analysis – March 21, 2017 Forecast

By:
James Hyerczyk
Published: Mar 21, 2017, 13:10 UTC

June E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. Today’s early strength is being supported by higher oil

E-mini S&P 500 Index

June E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. Today’s early strength is being supported by higher oil prices and positive developments in France over the upcoming presidential election.

E-mini S&P 500 Index
Daily June E-mini S&P 500 Index

Technical Analysis

The main trend is up according to the daily swing chart. However, momentum is down due to last week’s closing price reversal top on March 16.

A trade through 2388.75 will signal a resumption of the uptrend. This could create enough upside momentum to challenge the next top at 2397.25.

A new minor bottom has formed at 2365.50. If this bottom fails then look for the break to extend into the main bottom at 2351.00. A move through this bottom will change the main trend to down.

The market is currently straddling a pair of 50% levels at 2369.75 to 2374.25. Trader reaction to this zone will likely determine the near-term strength of the market.

Forecast

Based on the current price at 2374.25 and the earlier price action, the direction of the index today is likely to be determined by trader reaction to the 50% level at 2374.25.

A sustained move over 2374.25 will signal the presence of buyers. This could lead to a quick test of the downtrending angle at 2376.25. This angle is the trigger point for an acceleration into the next pair of downtrending angles at 2382.75 and 2383.25.

Overtaking 2383.25 will likely mean the buying is getting stronger with the next potential targets coming in at 2388.75 and 2390.25.

A sustained move under 2374.25 will indicate the presence of sellers. This is followed by 2369.75 and 2367.00. We could see the return of sellers if 2367.00 fails as support since the next major support doesn’t come in until 2359.00.

Watch the price action and read the order flow at 2374.25 all session today.

About the Author

James is a Florida-based technical analyst, market researcher, educator and trader with 35+ years of experience. He is an expert in the area of patterns, price and time analysis as it applies to futures, Forex, and stocks.

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