December E-mini S&P 500 Index futures opened lower on Monday as investors prepared for a slew of corporate earnings and economic data. Some of the weakness may be related to the indictment of Ex-Trump campaign chair Paul Manafort in regards to the Mueller Investigation.
Daily Technical Analysis
The main trend is up according to the daily swing chart. A trade through 2580.75 will signal a resumption of the uptrend. Today’s session also begins with the index in the window of time for a potentially bearish closing price reversal top.
A trade through 2541.50 will change the minor trend to down.
The short-term range is 2541.50 to 2580.75. Its 50% level or pivot at 2561.00 is the first downside target.
The main retracement zone and best support area is 2531.00 to 2520.00.
Daily Forecast
Based on the early trade, the index is trading between support and resistance. This usually indicates it will be a news driven day.
On the upside, the first target is last week’s high at 2580.75. This is followed by an uptrending Gann angle at 2585.00. Overtaking this angle will indicate the buying is getting stronger with the next target angle coming in at 2591.25. Crossing to the strong side of this angle will put the index in an extremely bullish position.
On the downside, the first target is the 50% level at 2561.00. This level is also the trigger point for an acceleration to the downside with potential targets coming in at 2541.50 and 2535.00.
Watch the news today because the market could move big in either direction.