E-mini S&P 500 Index (ES) Futures Technical Analysis – Trading Inside 50% to 61.8% Retracement Zone
March E-mini S&P 500 Index futures are trading slightly lower at the mid-session. he market tried to break out to the upside, but the buying stopped just above a Fibonacci level and under a downtrending Gann angle.
Daily Technical Analysis
The main trend is down according to the daily swing chart. However, the minor trend is up. It turned up late Thursday on a move through 2726.75, changing the momentum to the upside.
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The main range is 2878.50 to 2529.00. Its retracement zone is 2703.75 to 2745.00. This zone is controlling the near-term tone of the market.
The index has been straddling the upper or Fibonacci level of the zone at 2745.00 all session.
Daily Technical Forecast
Based on today’s price action, the direction of the index into the close is likely to be determined by trader reaction to the Fib at 2745.00.
A sustained move under 2745.00 will signal the presence of sellers. This could generate the downside momentum needed to drive the index lower into the close with the 50% level at 2703.75 the first downside target.
The 50% level at 2703.75 is the potential trigger point for an acceleration to the downside with 2657.00 the next target.
A sustained move over 2745.00 will indicate the presence of buyers. This could lead to a test of the downtrending Gann angle at 2766.50.
Overtaking 2766.50 will indicate the buying is getting stronger with the next target angle coming in at 2785.00. Crossing to the strong side of this steep angle will put the market in a bullish position.