E-mini S&P 500 Index

E-mini S&P 500 Index (ES) Futures Technical Analysis – March 15, 2018 Forecast

June E-mini S&P 500 Index futures are expected to open slightly better under a cloud of uncertainty due to growing concerns surrounding a possible global trade war.

E-mini S&P 500 Index
Daily June E-mini S&P 500 Index

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, Tuesday’s closing price reversal top has shifted momentum to the downside.

A trade through 2807.25 will negate the closing price reversal top and signal a resumption of the uptrend.

The main range is 2883.25 to 2532.50. Its retracement zone at 2707.75 to 2749.25 is acting like support. This zone is controlling the longer-term direction of the market. Holding above it will help maintain the current upside bias.

The short-term range is 2651.75 to 2807.25. If the current selling pressure persists then at a minimum, we should see a drive into its 50% level or pivot at 2729.50. Since the main trend is up, we could see a technical bounce on the first test of this level.

Daily Technical Forecast

Based on the early price action, the direction of the index today is likely to be determined by trader reaction to the main Fibonacci level at 2749.25.

A sustained move over 2749.25 will indicate the presence of buyers. This could trigger a rally into a steep downtrending Gann angle at 2775.25. Aggressive counter-trend sellers could come in on a test of this Gann angle.

Overtaking 2775.25 could drive the index into a pair of downtrending Gann angles at 2791.25 and 2799.25. The latter is the last potential resistance angle before 2807.25.

A sustained move under 2749.25 will signal the presence of sellers. This could fuel a quick break into 2729.50, followed by an uptrending Gann angle at 2723.75. Since the main trend is up, buyers could come in on the first test of this angle. If it fails then look for the selling to extend into at least 2707.75.

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.