E-mini S&P 500 Index (ES) Futures Technical Analysis – October 1, 2014, Forecast

December E-mini S&P 500 Index futures posted a higher-high, higher-low on Tuesday, but closed lower for the session. Although the move helped make 1955.50 a new minor bottom, the weak close will give the market a downside bias on the opening.

The first support angle comes in at 1956.75 today. This is a long-trending angle from the 1882.75 bottom on August 8, moving up at a rate of 2.00 per day.

The main range is 1882.75 to 2014.50. Its retracement zone at 1948.50 to 1933.00 is the next major downside target. Breaking 1933.00 could trigger a further break into the next uptrending angle at 1919.75.

The key downtrending angle today comes in at 1950.50. On Tuesday, the market closed above this angle so breaking back below it will put the market in a weak position.

The first upside target today is a downtrending angle at 1982.50.

The short-term range is 2014.50 to 1955.50. Its retracement zone at 1985.00 to 1992.00 is the best upside target. Taking out 1992.00 could trigger a further rally into another downtrending angle at 1998.50.

Because of the U.S. Non-Farm Payrolls number on Friday, traders may not want to commit either way until after the report is released. At this time, the main trend is down on the daily chart, but the index could challenge the minor retracement zone at 1985.00 to 1992.00. Or the major retracement zone at 1948.50 to 1933.00.