October 17, 2024 at 09:20AM
S&P 500 E-mini Futures (ES) Technical Analysis and Price Forecast
👋 Hello investors and traders! Today, we’re diving into the technical analysis of the S&P 500 E-mini Futures (ES) on the daily timeframe. There’s been a lot of movement since the breakout of a key resistance line that’s held strong for over two years. Let’s break down what we’re seeing and what could be coming up next! 📈
🔑 Key Resistance Line & Breakout Levels in the Above S&P 500 E-mini Futures Technical Analysis Video
📅 First touchpoint for the Overhead Resistance: April 2022
📅 Second touchpoint: July 2024
📅 Third and fourth touchpoints: Led to a breakout above the long-term resistance line
✅ Breakout Retest: After the breakout, we saw a retest of the previous resistance (now support), which held firm, suggesting continued bullish momentum
🔄 Consolidation: A small period of consolidation on the support level, but the bias remains bullish for now
📊 Short-Term Outlook: Grinding Higher
🟢 Uptrend in play: ES is currently grinding higher after the retest of support
🔵 Blue Channel: We’re seeing prices respecting the blue channel, using it as support while moving upward
⚖️ Nasdaq Futures (NQ): Still hasn’t reached new all-time highs like ES, but looks promising
📈 Russell 2000 (RTY): Also showing signs of grinding up, contributing to overall bullish sentiment
🚨 The Bearish Case: What Could Go Wrong?
📉 Key Support: If ES breaks down below support, the bearish case could take control
🔥 Fake-Out Risk: If prices reach around the 6,000 level (a psychological round number), we may see a temporary bullish breakout that traps some late bulls
❗ Bear Trap Alert: A fake-out above 6,000 followed by a failure to sustain could lead to a deeper corrective move
🔻 Critical Breakdown Level: A break below 5,850 would confirm a more substantial bearish shift and could open the door for lower targets
🎯 What to Watch For
📊 Bullish Scenario:
Channel Support: Continue watching the blue channel as support holds and prices grind higher
🚀 6,000 Level: Watch for a breakout or possible fake-out around the psychological 6,000 level
📉 Bearish Scenario:
❗ 5,850 Breakdown: Keep an eye on the 5,850 support level—if it breaks, expect a potential long-term bearish move to unfold
As always, trade carefully and manage your risk appropriately! Visit ForexLive.com for more market insights and updates. Thank you, and happy trading! 💹✨
This article was written by Itai Levitan at www.forexlive.com.
