Emini Futures Trading Analysis- 25Mar2020


S&P500 Futures Technical Analysis: S&P500 futures closed today at 2467, and above their 10 day SMA for the first time since 20 Feb 2020 (20/02/2020) — it was a very eventful date, from where this entire major correction started. 2200 is the support for this week, and 2600 is the upside target. 2500 was the first target, which has been achieved today. The volatility is still very high to trade with small stop losses. Today is the first day in last one month, when the futures have done two consecutive green days.

S&P500 Emini Futures Trading Strategy: Traders looking to trade for 100-120 points gain can with can stay long above 2400. Today’s low was 2387, so 2380 is the absolute stop loss on any long positions. The futures bounced back from 2174 on Monday, 23 March 2020. Therefore, below 2170, fresh breakdown can happen. Keeping 2400 as stop loss will protect from any major downsides. We can’t be sure if a bottom has been made in the markets, because the coronavirus cases are still increasing. So we have to keep position size very small on any trade.

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