E-mini Dow Jones Industrial Average (YM) Futures Analysis – August 28, 2018 Forecast
September E-mini Dow Jones Industrial Average futures are called higher based on the pre-market trade. Strong appetite for risk continues to drive the price action. The Dow is still lagging the S&P 500 Index and the NASDAQ Composite. Its all-time high is the January 26 top at 26672.
Daily Technical Analysis
The main trend is up according to the daily swing chart. The next target is 26672. A trade through 25607 will change the main trend to down.
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Momentum is driving the market at this time and with resistance so far away, a shift in momentum will also signal a change in sentiment. Therefore, if we do see a short-term top, it’s likely to come in the form of a closing price reversal.
Daily Technical Forecast
Based on the early trade, the direction of the September E-mini Dow Jones Industrial Average is likely to be determined by trader reaction to the steep uptrending Gann angle at 26107.
A sustained move over 26107 will put the Dow in a bullish position. If it continues to “walk” up this Gann angle moving at a rate of 128 points per day then we could see a test of 26672 on September 3 or September 4.
A sustained move under 26107 will signal the presence of sellers. This could drive the Dow into the next uptrending Gann angle at 25991. We could see a technical bounce on the first test of this angle. However, if it fails, we could see an acceleration into the next two uptrending Gann angles at 25799 and 25703. The latter is the last potential support angle before the 25607 main bottom.