E-mini Dow Jones Industrial Average (YM) Futures Analysis – September 24, 2018 Forecast

December E-mini Dow Jones Industrial Average futures are trading steady to lower shortly after the cash market opening. Investors are adjusting positions following the news that China cancelled its mid-level trade meeting with the United States and ahead of the Fed’s widely expected interest rate hike on Wednesday and monetary policy statement.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, momentum may be trying to shift to the downside with the formation of the closing price reversal top on Friday.

A trade through 26820 will negate the closing price reversal top and signal a resumption of the uptrend. Taking out 26650 will confirm the closing price reversal top. This could trigger the start of a 2 to 3 day correction, and/or 50% to 61.8% correction of the last range. The main trend changes to down on a trade through 25991.

The short-term range is 25991 to 26820. Its retracement zone at 26406 to 26308 is the primary downside target. Since the main trend is up, buyers could come in on the first test of this zone.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Daily Technical Forecast

Based on the early price action, the direction of the December E-mini Dow Jones Industrial Average on Monday is likely to be determined by trader reaction to the long-term uptrending Gann angle at 26698.

A sustained move over 26698 will indicate the presence of buyers. If this creates enough upside momentum then look for a possible retest of 26820.

Taking out 26820 will indicate the buying is getting stronger. The next upside target is a steep uptrending Gann angle at 27015. Crossing to the strong side of this angle will put the Dow in an extremely strong position.

A sustained move under 26698 will signal the presence of sellers. Look for an acceleration to the downside if 26650 fails as support. This could trigger a break into the steep uptrending Gann angle at 26503.

If 26503 fails as support then look for the selling pressure to possibly extend into a price cluster at 26406, 26360 and 26308. A test of this area could bring in new buyers.

E-mini S&P 500 Index (ES) Futures Technical Analysis – September 24, 2018 Forecast

December E-mini S&P 500 Index futures are expected to open lower based on the pre-market trade. Investors are lightening up on the long side of the market after China cancelled trade talks on Friday. Traders are trying to figure out if this move represents an escalation of the trade dispute between the U.S. and China. Some traders are saying investors shouldn’t read into the move since the meetings were rescheduled for some time after the November U.S. mid-term elections.

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

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, momentum may have shifted to the downside with the formation of the closing price reversal top on Friday.

A trade through 2947.00 will negate the reversal top and signal a resumption of the uptrend. A move through 2923.25 will confirm the closing price reversal top. This could lead to the start of a 2 to 3 day correction. The main trend will change to down on a trade through 2883.50.

The short-term range is 2883.50 to 2947.00. Its retracement zone at 2915.25 to 2908.00 is the first downside target. Since the main trend is up, buyers are likely to show up on a test of this zone.

Daily Technical Forecast

Based on the early price action, the direction of the December E-mini S&P 500 Index is likely to be determined by trader reaction to Friday’s low at 2923.25.

Holding above 2923.25 will indicate the presence of buyers. If this creates enough upside momentum then look for buyers to make a run at 2947.00. Overtaking the steep uptrending Gann angle at 2947.50 will put the index in an extremely bullish position.

Taking out 2923.25 will signal the presence of sellers. This will also confirm the closing price reversal top.

The first downside targets are a cluster of numbers at 2915.50, 2915.25, 2915.00 and 2913.50. Since the main trend is up, look for buyers to show up on a test of 2915.50 to 2913.50.

Look for a potential acceleration to the downside if 2913.50 fails as support. This could trigger a spike into 2907.75. The daily chart starts to open up to the downside under this level with 2899.50 the next potential downside target.

DAX Index Price Forecast – DAX to Bearish For the Week amid Mixed Cues over Risk Averse Scenario in Global Markets

Germany equities were mixed at the close on Friday, as gains in the Software, Utilities and Insurance sectors propelled shares higher while losses in the Food & Beverages, Technology and Retail sectors led shares lower. At the close in Frankfurt, the DAX rose 0.85%, while the MDAX index climbed 0.07%, and the TecDAX index fell 0.28%. Advancing stocks outnumbered falling ones by 407 to 304 and 70 ended unchanged on the Frankfurt Stock Exchange. The DAX volatility index, which measures the implied volatility of DAX options, was down 3.39% to 13.44 a new 3-month low. The weekend saw a bout of global events which has resulted in bearish and risk averse sentiment prevailing on Monday as markets open across the globe. Brexit issues and news of snap election weighed down British market, while US Wall Street closed on Friday in bearish tone.

Intensifying Trade War Rows Between China & US Boosts Risk Averse Sentiment Across All Major Global Markets

Asia shares eased in holiday-thinned trading on Monday and the safe haven yen gained as China cancelled upcoming tariff talks with the United States, while oil prices jumped after top producers including Russia ruled out boosting crude output. Bearish sentiment is prevalent across broad market as China slammed the door on any trade talks with the US as $200 billion in tariffs on Chinese goods came into effect today. China also cancelled a proposed visit to Washington by vice premier Liu He originally scheduled for this week indicating signs that China is ready to put up a tough fight. While Asian equity markets are yet to see full brunt of China’s decisions, major indices across Asian markets hours saw mixed performance indicating risk averse investor sentiment is highly prevalent as trading session begins for the week.

Chinese Premier Li Keqiang said over the weekend China will cut import and export costs for foreign firms as it looks to promote an image of being open for business. The trouble is that further escalation is still on the cards as both sides are still well apart on the key issues while Trump remains defiant saying ‘it’s time to take a stand on China’ and his threat to increase tariffs on all imports from China remains. DAX Futures trading in international market ahead of German market hours was down by 0.44% indicating bearish investor’s sentiment and likelihood of bearish opening for German equities as trading session opens for the week. Amid mixed cues with bearish influence in a risk averse market, DAX is expected to open bearish and maintain downtrend movement across the day.

 

E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Supported by Series of Short-Term Retracement Levels

The E-mini NASDAQ-100 Index futures contract closed lower last week while posting an outside move. The index struggled most of the week to gain traction amid strong rallies in the S&P 500 Index and the Dow Jones Industrial Average. It looks as if buyers favored those two futures contracts because they had more to gain from the easing of tensions over the trade dispute between the United States and China.

December E-mini NASDAQ-100 Index futures settled the week at 7550.50, down 23.00 or -0.30%.

E-mini NASDAQ-100 Index
Daily December E-mini NASDAQ-100 Index

Weekly Swing Chart Technical Analysis

The main trend is up according to the weekly swing chart. A trade through 7723.50 will signal a resumption of the uptrend. The main trend will change to down on a move through 7193.50.

The minor trend is also up. A trade through 7343.25 will change the minor trend to down. This will also signal a shift in momentum to down.

The recent choppy trade is being caused by a series of retracement levels. Since the main trend is up, buyers keep coming in on the dips.

The short-term range is 7343.25 to 7723.50. Its 50% level or pivot is 7533.25. The market has straddled this level for three weeks.

The first intermediate range is 7193.50 to 7723.50. Its retracement zone at 7458.50 to 7396.00 has been acting like support.

The second intermediate range is 6986.50 to 7723.50. Its retracement zone at 7355.00 to 7268.00 is additional support.

The main range is 6399.75 to 7723.50. Its retracement zone at 7061.50 to 6905.50 is the main support zone.

Weekly Swing Chart Technical Forecast

Based on last week’s trade and the close at 7550.50, the direction of the December E-mini NASDAQ-100 Index futures contract is likely to be determined this week by trader reaction to the pivot at 7533.25.

A sustained move over 7533.25 will indicate the presence of buyers. If this move generates enough upside momentum then we could see a retest of the main top at 7723.50.

A sustained move under 7533.25 will signal the presence of sellers. This could lead to a labored break with potential targets at 7458.50, 7396.00, 7355.00 and 7343.25.

The weekly chart starts to open up to the downside under 7343.25 with the next target 7268.00, followed by the main bottom at 7193.50. This is another trigger point for an acceleration into 7061.50.

E-mini Dow Jones Industrial Average (YM) Futures Analysis – Needs to Sustain Move Over 26820 or Closing Price Reversal Top Will Form

Dow Jones Industrial Average futures surged to the upside last week on the back of easing concerns over an escalation of the trade dispute between the United States and China. This week, the focus will remain on trade after China announced on Friday that it was cancelling the meeting with the United States. Investors will also get the chance to react to the widely expected Fed rate hike on Wednesday and the central bank’s monetary policy statement.

Last week, December E-mini Dow Jones Industrial Average futures settled at 26754, up 569 or +2.17%.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Weekly Swing Chart Technical Analysis

The main trend is up according to the weekly swing chart. A trade through 26820 will signal a resumption of the trend. The market also begins the week in the window of time for a potentially bearish closing price reversal top.

The minor trend is also up. A trade through 25784 will change the minor trend to down. This will also shift momentum to the downside.

The short-term range is 25784 to 26820. Its 50% level or pivot at 26302 is controlling the near-term direction of the index.

The intermediate range is 24970 to 26820. Its 50% level or pivot at 25895 is the next downside target.

The main range is 24000 to 26820. If the minor trend changes to down then look for a break into its retracement zone at 25410 to 25077.

Weekly Swing Chart Technical Forecast

Based on last week’s price action and the strong close at 26754, the direction of the December E-mini Dow Jones Industrial Average futures contract is likely to be determined by trader reaction to last week’s high at 26820.

A sustained move over 26820 will indicate the buying is getting stronger. There is no resistance so upside momentum will continue to carry the trade.

The inability to overcome 26820 will signal the selling is greater than the buying. This could trigger a pullback into the short-term 50% level at 26302. Watch for a technical bounce on the first test of this level. If it fails then look for the selling to drive the market into the next pivot at 25895 then the minor bottom at 25784.

The daily chart opens up to the downside under 25784 with 25410 the next target level.

A third scenario could develop. Buyers could take out 26820 then sellers could drive the market through 26754, turning it lower for the week. If they sustain this move then look for the formation of a weekly closing price reversal top. This could lead to the start of a 2 to 3 week correction.

E-mini S&P 500 Index (ES) Futures Technical Analysis – Needs to Hold 2908.25 Pivot to Sustain Upside Momentum

S&P 500 Index futures settled higher last week. The catalyst behind the rally was an easing of tensions over the trade dispute between the United States and China. This week investors will continue to react to any news regarding trade negotiations and additional tariffs as well as the widely expected Fed rate hike on Wednesday.

For the week, December E-mini S&P 500 Index futures settled at 2933.75, up 22.25 or +0.76%.

E-mini S&P 500 Index
Weekly December E-mini S&P 500 Index

Weekly Swing Chart Technical Analysis

The main trend is up according to the weekly swing chart. A trade through 2947.00 will signal a resumption of the uptrend. The index is not in a position to change the main trend to down, but it begins the week in the window of time for a potentially bearish closing price reversal top.

The minor trend is also up. A trade through 2869.50 will change the minor trend to down. This will also shift momentum to the downside.

The short-term range is 2869.50 to 2947.00. Its 50% level or pivot comes in at 2908.25. This price is controlling the near-term direction of the index.

Weekly Swing Chart Technical Forecast

Based on last week’s price action and the close at 2933.75, the direction of the December E-mini S&P 500 Index this week is likely to be determined by trader reaction to 2908.25.

A sustained move over 2908.25 will indicate the presence of buyers. If this move generates enough upside momentum, we could see a retest of 2947.00. Taking out this level could trigger a breakout to the upside since there is no resistance.

The rally is being driven by momentum. A closing price reversal top chart pattern will stop the momentum and signal that the selling is greater than the buying at current price levels.

A sustained move under 2908.25 will signal the presence of sellers. If this move creates enough downside momentum then look for the selling to extend into a pair of 50% levels at 2877.00 to 2871.00. This is followed closely by the minor bottom at 2869.50. Since the main trend is up, look for buyers to come in on the initial test of this area. Look out to the downside if 2869.50 fails as support.

E-mini S&P 500 Index (ES) Futures Technical Analysis – Confirming Reversal Top Could Fuel Correction into 2915.25

After hitting a new all-time high on Friday, the December E-mini S&P 500 Index settled lower, posting a potentially bearish closing price reversal top in the process. While this chart pattern may not be signaling a change in trend, it could trigger the start of a 2 to 3 day correction.

December E-mini S&P 500 Index futures settled at 2933.75, down 5.75 or -0.20%.

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

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, momentum may be shifting to the downside with the formation of the closing price reversal top. A trade through 2947.00 will negate the closing price reversal top and signal a resumption of the uptrend.

A trade through 2932.00 will confirm the closing price reversal top. This will also indicate the selling is greater than the buying at current price levels.

The short-term range is 2883.50 to 2947.00. If the reversal top is confirmed then look for a possible correction into its 50% level at 2915.25.

The main range is 2869.50 to 2947.00. Its retracement zone at 2908.25 to 2899.00 is the next downside target. Since the main trend is up, buyers could show up on a test of these levels.

Daily Swing Chart Technical Forecast

Based on Friday’s price action and the close at 2933.75, the direction of the December E-mini S&P 500 Index is likely to be determined by trader reaction to 2932.00.

Holding above 2932.00 and sustaining the move will indicate the presence of buyers. This could lead to a retest of 2947.00. Taking out this level will signal a resumption of the uptrend. There is no resistance above this level.

Taking out 2932.00 and sustaining the move will signal the presence of sellers. If this move creates enough downside momentum then look for the selling to extend into the short-term 50% level at 2915.25. Since the main trend is up, look for buyers to show up on the first test of this level.

If 2915.25 fails as support then look for the selling to extend into the next 50% level at 2908.25. Once again, look for buyers to re-emerge on the initial test of this level.

The last line of support before the main bottom at 2883.50 is the Fibonacci level at 2899.00.

E-mini Dow Jones Industrial Average (YM) Futures Analysis – No Resistance, but Watch for Closing Price Reversal Top

The Dow posted an all-time closing high on Friday while the other major indexes settled lower for the session. The rally was driven by strong upside momentum. Since we’re trading at an all-time high, there is no resistance. Therefore, a chart pattern, not a resistance level is likely to stop this rally. Due to the prolonged move up in terms of price and time, the chart pattern we’ll be looking for is a closing price reversal top.

On Friday, September E-mini Dow Jones Industrial Average futures settled at 26754, up 27 or +0.10%.

Traders said the reason for the rally last week was the easing of trade tensions between the United States and China. If this was the case then we could see a weaker start to trading on Monday because late Friday, China cancelled its meetings with the United States. The meetings may have been rescheduled for after the November elections.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 26820 will signal a resumption of the uptrend. The main trend will change to down on a trade through 25991.

If the short-term range is 25991 to 26820 then its 50% level at 26406 will become the first downside target.

The potential main range is 25784 to 26820. Its retracement zone at 26302 to 26180 is the next downside target.

Daily Swing Chart Technical Forecast

Due to the prolonged move up in terms of price and time, the direction of the December E-mini Dow Jones Industrial Average is likely to be determined by trader reaction to Friday’s low at 26712.

Taking out 26712 will break the pattern and signal the presence of sellers. This will also make 26820 a new minor top. If this move creates enough downside momentum, we could see a drive into the short-term 50% level at 26406.

The failure to take out 26712 or sustain a move under this level will indicate the presence of buyers. This could lead to a retest of 26820 or possibly a breakout through this level.

Traders should also watch for a higher-high, lower-close chart pattern. This will signal that the selling is greater than the buying at current price levels.

E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Weakens Under 7572.00, Strengthens Over 7607.75

December E-mini NASDAQ-100 Index futures tried to breakout to the upside on Friday, but buyers were reluctant to enter on strength above the last swing top at 7627.00. This led to late session selling pressure and the formation of a closing price reversal top. This could be signaling the start of a 2-3 day correction.

On Friday, the index settled at 7550.50, down 58.25 or -0.77%.

E-mini NASDAQ-100 Index
Daily December E-mini NASDAQ-100 Index

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, the closing price reversal top may be signaling a shift in momentum to down.

A trade through 7637.50 will negate the closing price reversal top and signal a resumption of the uptrend. The main trend will change to down on a trade through 7422.25.

The intermediate range is 7723.50 to 7422.25. Its retracement zone at 7572.00 to 7607.75 is resistance. It is also controlling the near-term direction of the index.

The short-term range is 7422.25 to 7637.50. Its retracement zone at 7529.75 to 7504.50 is the first downside target. Since the main trend is up, buyers may come in on the initial test of this zone. Look for the selling to extend if this zone fails as support.

The main range is 7193.50 to 7723.50. Its retracement zone at 7458.50 to 7396.00 is the major support zone. This zone provided support on September 7 at 7420.50 and on September 18 at 7422.25.

Daily Swing Chart Technical Forecast

Based on Friday’s price action and the close at 7550.50, the direction of the December E-mini NASDAQ-100 Index is likely to be determined by trader reaction to the 50% level at 7572.00.

A sustained move under 7572.00 will indicate the presence of sellers. This could trigger a quick break into the short-term retracement zone at 7529.75 to 7504.50. Look for a technical bounce on the first test of this zone. If it fails then look for the selling to extend into 7458.50 to 7396.00.

A sustained move over 7572.00 will signal the presence of buyers. This could lead to a test of 7607.75, followed by 7637.50.

Taking out 7637.50 will indicate the buying is getting stronger. The daily chart indicates there is no resistance until 7723.50.

S&P 500 Weekly Price Forecast – stock markets continue to show strength

The S&P 500 continues to find buyers at dips, as the uptrend line has held true, and of course it looks as if the 2900 level continues offer a buying opportunity for those who are willing to take it. I think that overall, the market should continue to go higher, as the markets seem to be hell-bent on going to the 3000 level. The uptrend line offer support as well, so this point I think this is a “buy on the dips” type of situation. We have made a fresh, new high, so to me it’s obvious that the buyers will continue to look at this market as one that should grind higher. I don’t see any reason to sell this market from a longer-term perspective, at least not until we were to break down below the uptrend line. If we did, then we could drop to the 2800 level rather quickly.

I believe at this point, you should be looking for value and adding to a winning position. If you are playing the futures market, obviously there is a lot of volatility in this market, and as a result it’s likely that the position swings will be nausea inducing. However, if you can play the CFD market or even use an ETF, you can take advantage of these dips in small increments and mitigate some of your risk. Either way, an upward and bullish environment is what I expect to see over the next several weeks, but pullbacks can and will happen.

S&P 500 Video 24.09.18

S&P 500 Price Forecast – stock markets quiet through quadruple witching

The S&P 500 went sideways during the trading session on Friday, as markets continue to digest the massive gains that we had seen over the last couple of days. With the quadruple witching going on in the options world, it makes sense that the markets were relatively quiet because quite frankly who would want to be involved in that potential mess? As we roll into the weekend, it makes sense that traders were simply content with their gains and were ready to go home flat. That’s typical on most Fridays, let alone one of these Fridays.

Overall though, I think a pullback could come and if it does it should bring out value hunters near the 2920 level. Looking at this chart, I also recognize that the 2910 and 2900 levels should both be very important. In general, I believe that this market should continue to be one that offers value on dips, and I think that a lot of traders are going to continue to look at it that way. Quite frankly, with all of the things that are going on around the world, if we can’t knock the S&P 500 down quite yet, one that trade this market would have to think that there are plenty of people willing to buy on dips, so that should skew you to the upside. If we did break down below the 2900 level, then I think it would be a very negative sign. I think that we are trying to get to the 3000 level and will by the end of the year.

S&P 500 Video 24.09.18

E-mini S&P 500 Index (ES) Futures Technical Analysis – September 21, 2018 Forecast

December E-mini S&P 500 Index futures are called steady shortly before the cash market opening. There was a slight follow-through to the upside earlier in the session, confirming the uptrend, but the market turned lower once the buying dried up. Due to the prolonged move up in terms of price and time and the early price action, traders have to be aware of the possibility of a closing price reversal top.

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

Daily Technical Analysis

The main trend is up according to the daily swing chart. The uptrend was reaffirmed earlier in the session when buyers took out yesterday’s high. There is no upside target at this time. The market is being driven by momentum and will continue to move higher as long as the momentum is trending higher.

A closing price reversal top and subsequent confirmation will shift momentum to the downside. Based on the early price action, since we’ve already had the higher-high, all we need is a lower close to form the potentially bearish chart pattern. Therefore, keep an eye on trader reaction to yesterday’s close at 2939.50 the rest of the session.

Daily Technical Forecast

Based on the early trade, the direction of the December E-mini S&P 500 Index the rest of the session is likely to be determined by trader reaction to 2939.50.

A sustained move over 2939.50 will indicate the presence of buyers. A move through the intraday high at 2945.50 will indicate the buying is getting stronger.

A sustained move under 2939.50 will signal the presence of sellers. If this generates enough downside momentum then look for a test of the steep uptrending Gann angle at 2931.50. Look for a technical bounce on the first test of this angle.

We could see a steep break if 2931.50 fails as support. The daily chart indicates there is plenty of room to the downside with the next target a support cluster at 2911.25, 2909.50 and 2907.50.

Basically, the index needs to close higher or a closing price reversal top will form. Additionally, the angle at 2931.50 is the trigger point for a potential acceleration to the downside.

E-mini Dow Jones Industrial Average (YM) Futures Analysis – September 21, 2018 Forecast

December E-mini Dow Jones Industrial Average futures are called steady-to-better shortly before the cash market opening. Buyers are trying to build on yesterday’s rally which took the market to a new contract high.

Daily Technical Analysis

The main trend is up according to the daily swing chart. There is no upside target. A trade through 25991 will change the main trend to down.

Due to the prolonged move up in terms of price and time, traders should be aware of the possibility of a closing price reversal top.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Daily Technical Forecast

Based on the early price action, the direction of the December E-mini Dow Jones Industrial Average is likely to be determined by trader reaction to the steep uptrending Gann angle at 26759.

A sustained move over 26759 will put the Dow in an extremely bullish position. This angle is moving up 256 points per day from the 25991 main bottom.

A failure to hold above 26759 will indicate the selling is greater than the buying or that the buying is getting weaker. This could trigger a quick break into a long-term uptrending Gann angle at 24970. This angle, moving up 64 points per day, has been guiding the Dow higher since the main bottom at 24970 on August 15.

If the angle at 26759 fails to hold as support then we could see a plunge into the short-term uptrending Gann angle at 26375. Since the main trend is up, we could see a technical bounce on the first test of this angle. If it fails then the selling could extend into a pair of uptrending Gann angles at 26296 and 26183.

E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – September 21, 2018 Forecast

December E-mini NASDAQ-100 Index futures are trading nearly flat shortly before the cash market opening. Profit-taking and position-squaring ahead of the week-end and next week’s widely expected Fed rate hike may be helping to limit gains. A firmer U.S. Dollar is also pressuring stocks.

E-mini NASDAQ-100 Index
Daily December E-mini NASDAQ-100 Index

Daily Technical Analysis

The main trend is up according to the daily swing chart. The uptrend was reaffirmed earlier today when buyers took out the closing price reversal top at 7627.00. The next upside target is the all-time high at 7723.50.

The trend will change to down when sellers take out 7422.25. This is followed closely by another main bottom at 7420.50.

The short-term range is 7723.50 to 7420.50. The market is currently trying to sustain a move over its retracement zone at 7607.75 to 7572.00. If successful, this zone will become support.

The main range is 7193.50 to 7723.50. Its retracement zone at 7458.50 to 7396.00 is major support.

Daily Technical Forecast

Based on the early trade, the direction of the December E-mini NASDAQ-100 Index is likely to be determined by trader reaction to the Fibonacci level at 7607.75 and the downtrending Gann angle at 7603.50.

A sustained move over 7607.75 will indicate the presence of buyers. If this move creates enough upside momentum, we could see a move into the next downtrending Gann angle at 7663.50. We could see a technical bounce on the first test of this angle. However, overtaking the angle could trigger a surge into the next downtrending Gann angle at 7693.50. This is the last potential resistance angle before the 7723.50 main top.

A sustained move under 7603.50 will signal the presence of sellers. This could trigger a plunge into the 50% level at 7572.00. Since the main trend is up, buyers could come in on the first test of this level.

The daily chart indicates there is plenty of room to the downside under 7572.00. If sellers come in with conviction, we could see an acceleration to the downside with the next target the uptrending Gann angle coming in at 7497.50.

Basically, we’re looking for an upside bias to develop on a sustained move over 7607.75, and for a downside bias to begin on a sustained move under 7572.00.

DAX Index Price Forecast – DAX to Open Positive Supported by Upbeat EURO & High Risk Appetite in Equity Markets

Germany equities were mixed at the close on Thursday, as gains in the Construction, Technology and Basic Resources sectors propelled shares higher while losses in the Food & Beverages, Software and Retail sectors led shares lower. At the close in Frankfurt, the DAX gained 0.88%, while the MDAX index gained 0.29%, and the TecDAX index lost 1.47%. Advancing stocks outnumbered falling ones by 402 to 297 and 82 ended unchanged on the Frankfurt Stock Exchange. The DAX volatility index, which measures the implied volatility of DAX options, was down 2.66% to 13.91 a new 1-month low. European markets yesterday closed on positive note owing to subdued demand for US Greenback and other safe haven assets which indicate risk appetite is currently very high among investors across the globe.

Market Cues from International Allied Markets Remain Positive Adding Bullish Influence to German Equities

Asian stocks extended gains on Friday after Wall Street’s S&P 500 set a new all-time high, while the dollar slipped on views that Beijing’s and Washington’s fresh exchange of tariffs may be less damaging than initially feared. The latest rally comes after new U.S. and Chinese tariffs on each other’s goods were set at lower rates this week than previously expected, raising hopes that hostilities between the world’s two largest economies may be easing. Despite growing anecdotal reports from companies on both sides of the Pacific that the trade war is starting to impact their operations, the outlook for corporate profits remained solid in many markets on the back of strong global growth, keeping equity valuations relatively attractive. Chinese shares, which had been hit the hardest by the trade war, have bounced this week. The CSI 300 index of Shanghai and Shenzen shares, which hit a two-year low last week, rose 0.6% in early Friday week for a weekly gain of 2.7%.

Similar to Chinese markets, other major Asian indices such as Japan’s NIKKEI, Singapore’s FTSE STI, Hong Kong’s HANG SENG & India’s NIFTY 50 were all trading positive in Asian market hours indicating positive investor sentiment in equity markets. Euro the common currency used across key European markets breached new resistance levels and was trading positive in Asian market hours which also adds positive influence to investor sentiment. DAX Futures trading in international market ahead of European market hours was up by 0.57% indicating positive signs for German equities. DAX Index is expected to open positive today and close for the week on positive note as risk sentiment remains in favor of bullish equity performance on last trading session of the week.

E-mini Dow Jones Industrial Average (YM) Futures Analysis – September 20, 2018 Forecast

December E-mini Dow Jones Industrial Average futures are trading higher shortly after the cash market opening. The catalyst behind the rally is the easing of tensions over the on-going trade spat between the United States and China.

Daily Technical Analysis

The main trend is up according to the daily swing chart. The trend will change to down on a move through 25991. Today’s session also begins with the market in the window of time for a closing price reversal top.

Daily Technical Forecast

Based on the early price action, the key support angle is 26503.

A sustained move over 26503 will indicate the presence of buyers. Taking out and sustaining a rally over 26570 will indicate the buying is getting stronger. A sustained move over this angle could generate the upside momentum needed to challenge the January top at 26709. There is no resistance over this level so the market could continue to accelerate to the upside.

A sustained move under 26503 will signal the presence of sellers. It was also put the Dow in a position to form a potentially bearish closing price reversal top. On an intraday basis, the first downside targets are a pair of short-term uptrending Gann angles at 26247 and 26232.

It’s all about momentum at this time. Support and resistance may have to take a backseat. So pay more attention to the chart patterns rather than the oscillators and indicators. They are lagging and coincidental anyway.

E-mini S&P 500 Index (ES) Futures Technical Analysis – September 20, 2018 Forecast

December E-mini S&P 500 Index futures are expected to open higher based on the pre-market trade. The rally is being driven by increased demand for higher risk assets. The catalyst is an easing of concerns over the trade dispute between the United States and China. Rising U.S. Treasury yields are also helping to drive up bank stocks.

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

Daily Technical Analysis

The main trend is up according to the daily swing chart. The uptrend was reaffirmed when buyers took out the recent top at 2921.75. The new main bottom is 2883.50. A trade through this bottom will change the main trend to down.

There is no upside objective at this time. However, traders should watch for a closing price reversal top signal due to the prolonged move up in terms of price and time.

Daily Technical Forecast

Based on the early price action, the direction of the December E-mini S&P 500 Index futures contract today is likely to be determined by trader reaction to a steep uptrending Gann angle at 2915.50.

A sustained move over 2915.50 will indicate the presence of buyers.

A failure to hold 2915.50 will signal the return of sellers, or the lack of buyers. If this move creates enough downside momentum, we could see a plunge into a pair of uptrending Gann angles at 2907.00 and 2905.50. Since the main trend is up, buyers are likely to show up on a test of these angles so don’t be surprised by a technical bounce.

If 2905.50 fails as support then look for the selling to extend into the next Gann angle target at 2899.50.

DAX Index Price Forecast -DAX to Trade Range Bound on Mixed Global Cues Amid Increased Risk Appetite

Germany equities were mixed at the close on Wednesday, as gains in the Basic Resources, Chemicals and Construction sectors propelled shares higher while losses in the Utilities, Media and Financial Services sectors led shares lower. At the close in Frankfurt, the DAX added 0.50%, while the MDAX index lost 0.01%, and the TecDAX index lost 1.40%.pair are at 1.3133, 1.3098, 1.3075 and 1.3158, 1.3215, 1.3281 respectively. Advancing stocks outnumbered falling ones by 364 to 334 and 77 ended unchanged on the Frankfurt Stock Exchange. The DAX volatility index, which measures the implied volatility of DAX options, was down 4.36% to 14.29 a new 1-month low. European markets yesterday closed on positive note as equity markets were highly active owing to subdued demand for US Greenback and safe haven instruments.

Bearish Move Likely but Subdued Demand For Safe Haven Suggests Increased Activity in Risky Segment of Equity Markets

US markets had mixed closing for the day with DOW 30 & S&P 500 closing on positive note while NASDAQ closed on negative note. Asian stocks followed global cues and were in a mixed stance on early Thursday, as investors took a less bearish view on the impact of the U.S.-China trade war on markets, a sharp contrast to dim expectations economists had on U.S. growth amid the worsening tensions. The rally in global stocks has been accompanied by falls in U.S. bonds and the Japanese yen. The yield on benchmark 10-year Treasury notes US10YT=RR , which on Wednesday touched its highest level since May 18, was at 3.0626% on early markets hours today compared with its U.S. close of 3.083%.

As trading session progressed Chinese and Singapore market turned bearish but Singapore’s FTSE is trading with neutral bias as downside move was limited to 0.02% while Japanese market closed for the day on positive note. Risk appetite remains high and activity in safe haven instruments remains very low during Asian market hours. Riskier instruments are seeing high level of activity across global markets in Asian market hours. However subdued price action for EURO in global market and DAX futures which were trading dovish in international market ahead of German market hours suggest possibility for downward price action in today’s trading session. DAX is forecast to open gap down and trade range bound across the day with bearish bias but downside move is likely to be capped soon as risk appetite remains high in market.

 

S&P 500 Price Forecast – S&P 500 volatile to kick off Wednesday session

The S&P 500 is trying to break out to the upside, there’s no doubt about that. However, there are a lot of concerns around the world right now and that of course weighs upon the S&P 500. Paramount in the mind of traders will be the US/China trade relations, which are getting worse by the day. However, it looks as if the buyers are hell-bent on sending this market higher. The 2910 level looks to be supportive, probably extending down to about 2907. That being said, the markets are a bit contained, because the currency markets aren’t helping either, with the US dollar being a bit stubborn when it comes to softening.

Overall, I think that the clearest signal of buying would be if we can break above the 2918 handle, which will almost certainly send this market on its next leg up. However, the last 24 hours had seen a massive rally and then some sideways consolidation at the highs, which makes sense as with so many problems around the world, it’s difficult to be massively bullish. If we do break down below the lows of the session on Wednesday, then I think the 2900 level is probably where you see a lot of fresh buying come into support the market. At this point, buying the dips probably makes the most sense, but I would be very small in my position initially and only add after I’ve been proven correctly as headlines across the wires almost daily that through the markets into a tizzy.

S&P 500 Video 20.09.18

E-mini Dow Jones Industrial Average (YM) Futures Analysis – September 19, 2018 Forecast

December E-mini Dow Jones Industrial Average futures are trading higher shortly after the cash market opening. Increased demand for risky assets is behind the move. It started with a shift in momentum to the upside on Tuesday.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 25991 will change the main trend to down.

E-mini Dow Jones Industrial Average
Daily December E-mini Dow Jones Industrial Average

Daily Technical Forecast

Based on the early price action, the direction of the December E-mini Dow Jones Industrial Average futures contract the rest of the session will be determined by trader reaction to the steep uptrending Gann angle at 26442.

Crossing to the strong side of the angle at 26442 will put the Dow in a bullish position. A sustained move over this angle will indicate the buying is getting stronger. If this continues to generate upside momentum then we could see a test of the contract high at 26709 by September 24.

The inability to sustain a rally over 26442 will signal the presence of sellers. If longs decide to take profits at this point then look for a possible break into the nearest short-term uptrending Gann angle at 26104. Since the main trend is up, we could see a technical bounce on the first test of this angle.

If 26104 fails as support then look for the selling to extend into the main bottom at 25991, followed by an uptrending Gann angle at 25944. This is the last potential resistance angle before the 25784 main bottom.