E-mini S&P 500 Index (ES) Futures Technical Analysis – May 2, 2018 Forecast

June E-mini S&P 500 Index futures are called slightly better shortly before the cash market opening. The market is getting a little bump from Apple’s earnings report, but gains being limited by the Fed’s interest rate decision and monetary policy announcement at 1800 GMT.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart, but upside momentum has stalled.

A trade through 2682.25 will signal a resumption of the uptrend. The main trend will change to down on a move through 2611.25.

The market is currently trading between a number of retracement levels.

On the downside, the support is being provided by a 50% level at 2635.25 and a Fibonacci level at 2615.50.

On the upside, the resistance is a 50% level at 2665.00 and 2679.75.

The primary upside target is a retracement zone at 2708.00 to 2749.25.

Daily Swing Chart Technical Forecast

The direction of the index today is a toss-up. It all depends on whether the trend or counter-trend traders take control.

If trend traders take control then they will defend 2635.25 and try to drive the index through the resistance levels at 2665.00, 2679.75 and 2682.25.

The main top at 2682.25 is the trigger point for an acceleration into 2708.00 and 2718.50.

If counter-trend traders take the reins then they will try to drive the index through 2635.25 then 2615.50. Essentially, they are going to try to generate the downside momentum needed to take out 2611.25.

A drive through 2611.25 will change the main trend to down. The daily chart indicates there is plenty of room to the downside with potential targets at 2584.50, 2559.50 and 2552.00.