E-mini Dow Jones Industrial Average (YM) Futures Technical Analysis – Buyers Targeting 35445 for Next Breakout

September E-mini Dow Jones Industrial Average futures are trading higher late Friday as Federal Reserve Chairman Jerome Powell’s remarks at the Jackson Hole Symposium calmed fears over the tapering timetable and sent investors into the weekend in a buying mood.

At 18:30 GMT, September E-mini Dow Jones Industrial Average futures are trading 35398, up 238 or +0.68%.

In his prepared remarks, Powell stopped short of providing a clearer picture regarding the timing of the central bank’s tapering of asset purchases or hiking interest rates, the key elements of its dovish monetary policy aimed at helping the economy recover from the pandemic recession.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, momentum is trending lower with the formation of a secondary lower top.

A trade through 35445 will signal a resumption of the uptrend. This is followed by the record top at 35547.

A trade through 34494 will change the main trend to down. Taking out 35445 will make 35114 a new main bottom and change in trend point.

The minor range is 35445 to 35114. The Dow is currently trading on the strong side of its pivot at 35280, making it support.

A second minor trend pivot at 35021 is additional support.

Daily Swing Chart Technical Forecast

The direction of the September E-mini Dow Jones Industrial Average into the close on Friday is likely to be determined by trader reaction to 35280.

Bullish Scenario

A sustained move over 35280 will indicate the presence of buyers. If this move creates enough upside momentum then look for a test of 35445. Taking out this level will indicate the buying is getting stronger. This could trigger an acceleration into the record high at 35547.

Bearish Scenario

A sustained move under 35280 will signal the presence of sellers. Taking out 35114 will indicate the selling is getting stronger with 35021 the next likely downside target.