E-mini S&P 500 Index (ES) Futures Technical Analysis – Holding 2363.00 Could Launch Rally to 2696.50

June E-mini S&P 500 Index futures are stabilizing shortly after the cash market opening on Wednesday after hitting a multi-year low the previous session. The market is currently being supported by demand for technology stocks. Shares of Facebook, Amazon, Netflix and Apple all rose more than 1% to lead the technology sector higher.

At 15:52 GMT, June E-mini S&P 500 Index futures are trading 2432.50, up 31.00 or +1.29%.

Daily June E-mini S&P 500 Index

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through 2262.00 will signal a resumption of the downtrend. The main trend will change to up on a move through 3131.00. This is highly unlikely, however, but there is room for a normal 50% to 61.8% correction.

The short-term range is 3131.00 to 2262.00. Its retracement zone at 2696.50 to 2799.00 is the primary upside target.

Daily Technical Forecast

Based on the early price action and the current price at 2403.00, the direction of the June E-mini S&P 500 Index the rest of the session on Thursday is likely to be determined by trader reaction to the steep downtrending Gann angle at 2363.00.

Bullish Scenario

A sustained move over 2363.00 will indicate the presence of buyers. If this move creates enough upside momentum then look for a potential acceleration to the upside with the short-term 50% level at 2696.50 the first upside target.

This is followed by a pair of downtrending Gann angles at 2747.00 and 2757.50. The Fibonacci level at 2799.00 is also a potential upside target.

Bearish Scenario

A sustained move under 2363.00 will signal the presence of sellers. This could lead to a retest of yesterday’s low at 2262.00. This is a potential trigger point for an acceleration to the downside.

This article was originally posted on FX Empire