E-mini S&P 500 Index (ES) Futures Technical Analysis – March 4, 2019 Forecast

March E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. The rally is being fueled by optimism over a potential trade deal between the United States and China. Earlier in the session, the index touched its highest level since December 3 before backing down. Taking out this level with conviction will indicate the buying is getting stronger. The reaction to the first test of this former top suggests the buying may be slowing or the selling pressure may be increasing.

At 12:47 GMT, March S&P 500 Index futures are trading 2813.00, up 8.00 or +0.29%.

Daily Technical Analysis

The main trend is up according to the daily swing chart. It was reaffirmed earlier today when buyers took out the previous top at 2814.00.

The main trend will change to down on a trade through 2775.00. Traders should also watch for a potentially bearish closing price reversal top chart pattern.

The short-term range is 2729.00 to 2819.75. If the main trend changes to down then look for a potential break into its retracement zone at 2774.25 to 2763.50.

Daily Technical Forecast

Based on the early price action, the direction of the March E-mini S&P 500 Index is likely to be determined by trader reaction to the uptrending Gann angle at 2809.00.

Bullish Scenario

A sustained move over 2809.00 will indicate the presence of buyers. The first upside target is today’s intraday high at 2819.75. Taking out this level will be a sign of strong buying. This could lead to a test of 2841.00.

Bearish Scenario

A failure to hold 2809.00 will signal the presence of sellers. The first downside target is another uptrending Gann angle at 2800.75. This is a potential trigger point for an acceleration to the downside.