Category Archives: S&P500 Futures Trading

Emini Futures Trading Analysis- 19Nov2019

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The S&P500 Emini futures are currently at 3131 in pre-market trading, up 10 points from yesterday’s closing of 3121.

Yesterday (Monday) was looking like a bearish setup during the day but the S&P500 Emini futures pulled up into green by the end of the day, and created a doji like candle, which indicated that the selling pressure was met with equal buying demand. Today’s pre-market upmove to 3131 indicates that we have some more bullish upmove potential, till 3150. However, if the futures start trading below 3110, which is below the low of yesterday, then selling pressure can increase rapidly and 3080 can be retested by end of Friday. So the market range is from 3080 to 3150.

[Bonus Trade] Buy at 3122 for Target 3145 with Stop loss 3110.
Yesterday’s low was 3111.25, so 3110 is a very suitable stop loss for this trade.

The weekly chart S&P500 futures is showing stalling of momentum, which indicates that we are probably near the top end of this rally now, and we may see a red weekly candle within the next 1-2 weeks, if not this week itself.

spx500-futures-weekly-chart-analysis-19nov2019

The daily chart of S&P500 futuresis showing reducing momentum in the latest part of this rally, compared to previous rally, so that is an indication of stalling in the price upmove in the near future, maybe in 3-5 days.

spx500-futures-daily-chart-analysis-19nov2019

The hourly chart of S&P500 futures is showing strong momentum, which is supporting the current upmove from 3100 to 3131. But this hourly momentum can rapidly swing to downside once any strong selling comes, so we have to give more important to daily and weekly charts for understanding the market trend. The hourly chart will help us take a few tactical trades. For example, a long trade from 3100 to 3130 has been completed.

spx500-futures-hourly-chart-analysis-19nov2019

Emini Futures Trading Analysis- 18Nov2019

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The S&P500 Emini futures are currently at 3121, at the time of closing for the day.
The futures fell sharply intraday to 3111 but managed to bounced back by the end of the day to 3121, thereby showing that there is still enough buying strength in this market, and even a bearish looking setup was rapidly avoided and used for adding long positions by the buyers.

We have a doji like candle today, and therefore, tomorrow’s price action will be very important, and it can create a big 25-30 point move either on the upside or downside. Today’s high was 3127.50, so the futures will become bullish above 3128 for at least 20 points more gain, so 3150 will be immediate target above 3128. On the other hand, the futures will become bearish below today’s low of 3111, and 3080 will become the immediate downside target. So we now have a market which can move rapidly between 3080 and 3150.

The S&P500 index is in strong uptrend above 3000 level. The S&P500 futures have come up above 3100 after testing the 3070-3080 support level for a many days, so that support level is strongly in place.

Our Emini Futures Trading Strategy is to stay long, and keep buying on corrections, as long as the futures are above 3080.

[Bonus Trade] Buy at 3121 for Target 3145 with Stop loss 3110.
Today’s low is 3111, so 3110 is an ideal stop loss for this trade.

Emini Futures Trading Analysis- 07Nov2019

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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.

spx500-futures-daily-chart-analysis-07nov2019

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.

spx500-futures-daily-chart-analysis2-07nov2019

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.

spx500-futures-weekly-chart-analysis-07nov2019

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.

Emini Futures Trading Analysis- 25Oct2019

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The S&P500 Futures are currently at 3021 and they have made a big upmove today on the back of positive news from US- China trade war deal. The futures have been moving above their key moving averages on both daily and weekly charts, and today’s upmove was facilitated with that favorable setup. However, the last few days have seen a complex consolidation around 2980-3000 level, and if the upmove is real, then it should make a new high following this upmove.

Our Emini Futures Trading Strategy is to keep taking long trades, like we have been doing all along, while the futures are above their 200 day moving average. A clean trade will be possible above 3030. The absolute stop loss for any long trade now is 3000, which is also the base of today’s upmove.

[Bonus Trade] Buy at 3030 for Target 3080 with Stop loss 3000.

spx500-futures-daily-chart-analysis-25oct2019

spx500-futures-daily-chart-analysis2-25oct2019

spx500-futures-weekly-chart-analysis-25oct2019

Emini Futures Trading Analysis- 11Oct2019

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Hello Folks, the S&P500 futures are currently at 2978.00
Today’s Range: 2941.25 – 2993.00

The futures have made a big move today after creating a good base in the last two days. Today’s upmove is looking reliable coming on the back of a very good setup made in the last 2 days. But we have a weekend coming up, which has a tendency to create gap-ups and gap-downs by Monday morning, so I am analyzing our next long trade here.

spx500-futures-daily-chart-analysis-11oct2019

Please Note: There is a major resistance currently at 2976.
We need daily closing above 2880 for clean upmove to 3020-3030 level.
That will be a reliable long trade.

spx500-futures-5hr-chart-analysis-11oct2019

Our S&P500 Trading Strategy has been to stay long and buy all corrections above 2850 level, and that has given good gains in the last 3 months.

[Bonus Trade]
Buy at 3000, for Target 3023, with Stop loss 2980″.

Market Notes:

  • The futures were volatile in the early part of this week and on 8th Oct 2019, the futures suddenly dipped below 2890 from 2920-2930 levels in pre- market around midnight UK time, thereby taking out the stops of most traders in the market, and then bounced back to 2920 levels before market open.
  • We were in the market at night on 8th Oct, and saw this live, and quickly bought futures at 2885-2890 levels with 2850 Stop loss, and were able to sell them after 5 hours at 2920-2925 levels, all of this in pre-market trading! But those are high speed, dynamic trades with 50-50 chance of success, which can’t be used as General Trades for all traders based in different locations and time zones.
  • Our larger traders who do Optional Trades with 1-2 contracts (and General Trades with with full volume of Emini contracts), could use our default trade at 2900 once again this week. Our default trade since Aug 2019 has been: “Buy at 2900 for target 2930 with Stop 2880”.

Next Steps: Today is looking a clear case of S&P500 Breakout Trading. There is no immediate trade as of now, but please stay alert because a new trade may come if 2880 is crossed successfully today on closing basis. Thanks!

End of Day Update: The futures went up till 2993 and were trading above 2980 most of the day, but could not close above the major resistance of 2976! This creates fresh downside possibility of retest of 2950 next week, but the upside target of 3000+ can also come in the next 1-2 weeks. So we should aim to buy the corrections with a stop loss of 2930. Its good that we did not buy at 2985-2990 levels during the day otherwise our stop loss would have got hit by end of day. Now we just have to select a fresh entry point for taking a long position next week.

Following is the weekly chart of the S&P500 futures. The last two weeks have shown strong defense of lower levels below 2900 and it has set up the stage for testing 3000-3050 levels. Thanks.

spx500-futures-weekly-chart-analysis-11oct2019