March E-mini S&P 500 Index futures are trading lower late in the session, giving up earlier gains and easing from record levels on news U.S. tariffs targeting Chinese goods will stay in place through the 2020 election even though both sides are scheduled to sign a “Phase One” trade deal on Wednesday.
At 18:32 GMT, March E-mini S&P 500 Index futures are trading 3286.50, down 3.25 or -0.10%.
Daily Technical Analysis
The main trend is up according to the daily swing chart. The uptrend was reaffirmed earlier today when buyers took out the previous session high. A rally through the intraday high at 3296.75 will signal a resumption of the uptrend.
The main trend will change to down on a move through 3181.00. However, due to the prolonged move up in terms of price and time, a close under 3289.75 will produce a potentially bearish closing price reversal top.
The short-term range is 3181.00 to 3296.75. Its 50% level at 3238.75 is a potential downside target.
There are three uptrending Gann angle targets at 3295.00, 3302.25 and 3309.00. The first angle provided resistance on Tuesday. Crossing to the strong side of the first two angles will be bullish. Overcoming the steep uptrending Gann angle will put the index in an extremely bullish position.
On the downside, the first Gann angle target comes in at 3245.00. Since the trend is up, watch for buyers on the first test of this angle. If it fails to hold then look for the selling to possibly extend into the short-term pivot at 3238.75.
A close under 3289.75 will produce a closing price reversal top. If confirmed on Wednesday, this could lead to a 2 to 3 day sell-off.
This article was originally posted on FX Empire
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