September E-mini Dow Jones Industrial Average futures are trading higher at the start of the week, led by a more than 500 point jump in the cash market. The blue chip average was supported by a sharp rise in shares of Boeing and Apple.
Traders for the most part ignored the latest surge in coronavirus cases and worries over U.S.-China trade relations. Their focus instead was on stocks that would gain the most if states continue to reopen.
At 20:11 GMT, September E-mini Dow Jones industrial Average futures are trading 25358, up 408 or +1.64%.
Daily Technical Analysis
The main trend is up according to the daily swing chart, but momentum is trending lower. The main trend will change to down on a move through the nearest main bottom at 22640. A trade through 27466 will signal a resumption of the uptrend.
The minor trend is down. This is controlling the momentum. The minor trend changes to up on a trade through 26294.
The minor range is 27466 to 24409. Its retracement zone at 25938 is resistance.
The short-term range is 22640 to 27466. Its retracement zone at 25053 to 24484 is support. This zone stopped the selling at 24743 on Monday.
On the downside, the support is a 50% level at 25053, an uptrending Gann angle at 24624, a Fibonacci level at 24484 and a minor bottom at 24409. Look for an acceleration to the downside if 24409 fails as support.
On the upside, the first potential resistance is a downtrending Gann angle at 25674. Sellers could come in on the first test of this angle. Overcoming it, however, could trigger an acceleration to the upside with the next target the minor retracement zone at 25938 to 26298.
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This article was originally posted on FX Empire
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