S&P 500

E-mini S&P 500 Index (ES) Futures Technical Analysis – 3156.25 Next Target, Breakout Trigger Point

September E-mini S&P 500 Index futures are trading higher shortly before the cash market opening on Tuesday after White House trade advisor Peter Navarro clarified that the U.S.-China trade deal is not over.

Earlier in the session, the benchmark index plunged after White House trade advisor Peter Navarro made comments about U.S.-China trade relations that were misinterpreted. The market turned around after Navarro clarified that the U.S.-China trade deal is not over.

At 13:02 GMT, September E-mini S&P 500 Index futures are trading 3142.50, 31.75 or 1.02%.

Ahead of the opening, Apple was among the best-performing stocks, gaining 1.7%. That advance put the tech giant on pace to hit a fresh record high at the open.

Banks stocks rose broadly. JPMorgan Chase, Citigroup, Wells Fargo and Bank of America all gained more than 2%. Retailers such as Gap, Kohl’s and Nordstrom – which are directly linked to the economy reopening – were all up at least 2%. MGM and Wynn Resorts gained more than 2% each.

Daily September E-mini S&P 500 Index

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 2923.75 will change the main trend to down. A move through 3220.50 will signal a resumption of the uptrend.

The minor trend is down. A trade through 3156.25 will change the minor trend to up. This will also shift momentum to the upside.

The minor range is 3220.50 to 2923.75. Its 50% level or pivot is 3072.00.

The short-term range is 2751.50 to 3220.50. Its 50% level support is 2986.00.

The main retracement zone support is 2926.25 to 2781.00. This zone is controlling the longer-term direction of the index.

Daily Swing Chart Technical Forecast

Based on the early price action, the direction of the September E-mini S&P 500 Index the rest of the session on Tuesday is likely to be determined by trader reaction to 3072.00.

Bullish Scenario

A sustained move over 3072.00 will indicate the presence of buyers. The next upside target is the minor top at 3156.25. Taking out this level could trigger an acceleration into the main top at 3220.50.

Bearish Scenario

A sustained move under 3072.00 will signal the presence of sellers. This could trigger a break into the minor bottom at 3027.25, followed closely by the 50% level at 2986.00.

Longs are likely to get nervous if 2926.25 to 2923.75 fails as support. This could trigger the start of an acceleration to the downside.

For a look at all of today’s economic events, check out our economic calendar.

Published by

James Hyerczyk

James A. Hyerczyk has worked as a fundamental and technical financial market analyst since 1982. His technical work features the pattern, price and time analysis techniques of W.D. Gann.