E-mini S&P 500 Index (ES) Futures Technical Analysis – Next Big Hurdle is 4079.00 – 4132.00 Retracement Zone

June E-mini S&P 500 Index futures are inching higher shortly before the close on Monday as the market attempted to bounce back from a relentless selling spree that’s punished tech stocks and pushed the broader market index to the brink of a bear market.

At 18:33 GMT, June E-mini S&P 500 Index futures are trading 4042.75, up 23.00 or +0.57%. The S&P 500 Trust ETF (SPY) is at $403.70, up $1.91 or +0.48%.

Early in the session, major tech names continued to take a hit on Monday. Shares of Apple, which fell into a bear market at one point last week, fell 1%. Tesla shares dropped 5%. Shares of Google-parent Alphabet declined 1.6%. Late in the session, Apple was up 0.14%, while both Tesla and Alphabet trimmed their losses.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. A trade through 3855.00 will signal a resumption of the downtrend. A move through 4303.00 will change the main trend to up.

The short-term range is 4303.00 to 3855.00. Its retracement zone at 4079.00 to 4132.00 is the nearest upside target.

The intermediate range is 4509.00 to 3855.00. Its 50% level or pivot is 4182.00.

The main retracement zone resistance comes in at 4327.50 to 4439.00.

Daily Swing Chart Technical Forecast

Trader reaction to 3949.25 is likely to determine the direction of the June E-mini S&P 500 Index into the close on Monday.

Bullish Scenario

A sustained move over 3949.25 will indicate the presence of buyers. If this continues to generate enough upside momentum then look for a surge into the short-term 50% level at 4079.00.

Since the main trend is down, sellers could come in on the first test of 4079.00. Overcoming this level, however, could trigger another surge into the Fibonacci level at 4132.00.

Bearish Scenario

A sustained move under 3949.25 will signal the presence of sellers. If this move creates enough downside momentum then look for the selling to possibly lead to a retest of the main bottom at 3855.00.