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E-mini S&P 500 Index (ES) Futures Technical Analysis – November 20, 2015 Forecast

By:
James Hyerczyk
Published: Nov 20, 2015, 10:46 UTC

December E-mini S&P 500 Index futures are trading flat-to-higher during the pre-market session. The index is also trading inside yesterday’s range,

December E-mini S&P 500 Index

December E-mini S&P 500 Index futures are trading flat-to-higher during the pre-market session. The index is also trading inside yesterday’s range, indicating trader indecision and impending volatility.

December E-mini S&P 500 Index
December E-mini S&P 500 Index

The main trend is down according to the daily swing chart. It turned down on November 9 when the index took out the swing bottom at 2064.25. Momentum, however, shifted to the upside earlier this week.

Based on yesterday’s close at 2079.25, the direction of the market today is likely to be determined by trader reaction to a downtrending angle at 2084.25.

A sustained move over this angle will signal the presence of buyers. The first target is yesterday’s high at 2089.25. Taking out this high could trigger enough upside momentum to challenge the next downtrending angle at 2097.25. This is followed by another downtrending angle at 2103.75. This is the last potential resistance angle before the 2110.25 main top.

A sustained move under 2084.25 will indicate the presence of sellers. The daily chart indicates there is room to the downside under this angle with the first target coming in at 2062.50. This angle is also the trigger point for an even steeper break.

If 1998.50 to 2089.25 becomes the new main range then its retracement zone at 2043.75 to 2033.00 becomes the primary downside target.

Watch the price action and read the order flow at 2084.25 today. Trader reaction to this angle will tell us whether the bulls or the bears are in control. 

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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