The market for the leading S&P 500 Index futures contract (ES) has given up a lot of ground over the past year to date.
While the index is bouncing this week, there could be more downside in store from here for the S&P.
The market is moving from a low price towards a future high price, but the market is still in a down trend overall.
So, today, let’s look at what’s next for ES and see where it might move next…
The S&P 500 Index Market Setup
Here’s how the chart is setting up for the S&P 500 future market index (ES)…
The ES daily time frame is in a down trend, with the market making lower lows and lower highs.
There is a down Fibonacci with an extension price point 3,228.75 about -2,237 ticks below the market.
As long as the daily time frame stays below the down trend line, it will be a good idea
to turn to the one hour time frame and look for selling ideas.
The Bottom Line
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Keep on trading,
P.S. While the futures markets may provide some big gains ahead, my colleague and expert trader Ross Givens has been working on a different market…