Technical Outlook:

Dec E-Mini S&P: Futures soared to the 1200 area on Thursday on a strong round of short covering and discount buying from bottom fishers. Prices settled on their best levels at 1198 with gains of 21 handles on the day. The rally appears to have hit a wall against 1200 generating moderate selling overnight and signaling for Flat to Lower price action today.

Sellers can take on shorts against 1198-1203 X Resistance today but should cover within congestion X Support at 1193-1188. Trade below 1188 accelerates Bear momentum today triggering a reversal back to yesterday’s lows at 1182-1177 XX Support with a chance to flush back to weekly/monthly lows at 1173-1171 XXX Support target.

On the upside, buyers can lightly scalp into the 1193-1188 X Support range and look to cover against 1198-1203 X Resistance target range. Trade above 1203 renews Bull momentum for a secondary leg up targeting 1206-1208 XX Resistance (weekly high) up to 1212-1215 XXX Target Resistance Range.

Daily S&P Chart:

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