E-mini S&P 500 Index

E-mini S&P 500 Index (ES) Futures Technical Analysis – Strengthens Over 4210.00, Weakens Under 4186.25

June E-mini S&P 500 Index futures are trading flat during the premarket session on Thursday, following a muted session on Wednesday. The low volatility, tight trading range activity is being labeled both a continuation of the holiday week and investor indecision ahead of a slew of economic data on Thursday and Friday’s U.S. Non-Farm Payrolls report. Some investors believe this week’s reports could set the tone at the Federal Reserve’s monetary policy meeting later this month.

At 05:42 GMT, June E-mini S&P 500 Index futures are trading 4207.75, up 1.50 or +0.04%.

The focus later today will be on the ADP Non-Farm Employment Change, Weekly Unemployment Claims and the ISM Services PMI report.

Investors are also eyeing Friday’s U.S. Non-Farm Payrolls report. Economists expect the data to show the creation of around 674,000 jobs in May, after April’s read came in below expectations at 266,000.

Daily June E-mini S&P 500 Index

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart, but momentum may be getting ready to shift to the downside with the formation of a closing price reversal top on Tuesday.

A trade through 4230.00 will negate the closing price reversal top and signal a resumption of the uptrend. A move through 4190.00 will confirm the closing price reversal top and could trigger the start of a minimum 2 to 3 day correction.

The minor trend is also up. A trade through 4177.75 will change the minor trend to down. This will confirm the shift in momentum to the downside.

The minor range is 4230.00 to 4190.00. The index is currently straddling its pivot at 4210.00.

The second minor range is 4142.50 to 4230.00. Its 50% level at 4186.25 is a potential support level.

The short-term range is 4055.50 to 4230.00. If the minor trend changes to down then its retracement zone at 4142.75 to 4122.00 becomes the primary downside target.

Daily Swing Chart Technical Forecast

The direction of the June E-mini S&P 500 Index on Thursday is likely to be determined by trader reaction to the pivot at 4210.00.

Bullish Scenario

A sustained move over 4210.00 will indicate the presence of buyers. The first upside target is 4230.00. Taking out this level will reaffirm the uptrend with 4238.25 the next objective. This is a potential trigger point for an acceleration to the upside.

Bearish Scenario

A sustained move under 4210.00 will signal the presence of sellers. The first downside target is 4186.25, followed closely by 4177.75. The latter is a potential trigger point for an acceleration to the downside with the next target a support cluster at 4142.75 to 4142.50.

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.