E-mini S&P 500 Index (ES) Futures Technical Analysis – September 27, 2017 Forecast

December E-mini S&P 500 Index futures are trading higher shortly before the cash market opening. Today, investors get the chance to react to Durable Goods data and the release of the Trump Administration’s tax reform plan.

Daily Technical Analysis

The main trend is down according to the daily swing chart. The trend turned down earlier in the week when sellers took out 2487.00. There wasn’t much of a sell-off through this bottom with the market stopping at 2485.00. This suggests sell stops triggered the change in trend rather than real short-selling.

The main trend will turn to up on a trade through 2507.25.

The short-term range is 2507.25 to 2485.00. Its 50% level or pivot comes in at 2496.25. The market is trading on the strong side of the pivot, giving it an upside bias.

The main range is 2419.25 to 2507.25. A move through 2485.00 will signal a resumption of the downtrend with its retracement zone at 2463.25 to 2452.75 the next likely target.

Daily Forecast

Based on the current price at 2500.75 and the earlier price action, the direction of the index today is likely to be determined by trader reaction to the pivot at 2496.00.

A sustained move over 2496.00 will indicate the presence of buyers. Overcoming Gann angles at 2497.25, 2499.50 and 2500.25 will indicate the buying is getting stronger. The latter is the last potential resistance angle before the 2507.25 main top.

A sustained move under 2496.00 will signal the presence of sellers. This could trigger an acceleration into the next downtrending angle at 2487.25. Crossing to the weak side of this angle will put the index in a bearish position.

Taking out 2485.00 with conviction could lead to an acceleration to the downside with the next major target a 50% level at 2463.25.