E-mini S&P 500 Index (ES) Futures Technical Analysis – September 5, 2017 Forecast

September E-mini S&P 500 Index futures are trading flat shortly before the cash market opening. Earlier in the session, the index was under pressure due to concerns over North Korea, but buyers came in to stop the price slide, leading to a rebound rally.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2479.75 will signal a resumption of the uptrend. This could create enough upside momentum to fuel a rally into the contract high at 2488.50.

The main range is 2488.50 to 2415.75. Its retracement zone at 2460.75 to 2452.00 is currently support. The Fibonacci level at 2460.75 provided support earlier in the session.

The new short-term range is 2421.00 to 2479.75. If the selling pressure resumes, its retracement zone at 2450.25 to 2443.50 will become the primary downside target.

Forecast

Based on the current price at 2468.75, the direction of the index is likely to be determined by trader reaction to the downtrending angle at 2468.50.

A sustained move over 2468.50 will signal the presence of buyers. This could trigger an acceleration to the upside with the primary target angle coming in at 2478.50. This is followed by last week’s high at 2479.75. This is the last potential resistance area before the 2488.50 main top.

A sustained move under 2468.50 will indicate the presence of sellers. This could drive the index into the support cluster at 2461.00 to 2460.75. This area held as support earlier in the session.

The Fib level at 2460.75 is also the trigger point for an acceleration to the downside with a pair of 50% levels at 2452.00 and 2450.25 the primary downside targets.

If 2450.25 fails as support then look for the selling to extend into 2443.25 and 2441.00.