Emini Futures Trading Analysis- 07Nov2019

The S&P500 Futures are currently at 3090, and they have been moving up steadily since Oct 10th, 2019 after they closed above their 10 day simple moving avg (SMA), and they have not broken their 10 day SMA yet, despite frequent ups and downs on day to day basis. Four weeks have passed already, making this one of the longest duration of steady upmove by the S&P500 futures in the last two years.

Traders can stay long with 10 day SMA as the Stop loss. It is currently at 3055, which is about 35 points below market price. Below the 10 day SMA, no fresh long trade should be attempted, because the futures can easily go and hit 3000 level again. Traders need to be very alert in the current market and trading positions must be kept light.


Following the latest chart at the close of today. The futures have made a bearish candlestick pattern today, after losing most of the gains of today, to the inevitable profit taking at these all time high levels.


Following is the weekly chart with area-plot of the 10 week simple moving average. There should be no long trades in the black area, because that is the zone of high volatility and sharp cuts.


Once 10 day SMA breaks, the futures can move down rapidly to test 3000-3010.
Below 3050, the next major support is 2980, which becomes the target for the downside.

Here is a tactical trade that can be done by alert and nimble traders.
[Bonus Trade] Sell at 3040 for Target 3010 with Stop loss 3060.

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