12 March 2018 (8:49 AM EDT)
U.S. stock futures have been trading with big gains through the global session but now, as the opening bell nears in U.S. stock markets, those gains have been trimmed considerably.
Dow Jones futures, that were more than 100 points higher a few hours ago, have lost nearly 50 points by now, indicating that this index is preparing to trade sideways.
As we had mentioned earlier, Dow Jones has a major technical resistance near 25,500 and if it crosses that level, then it can climb up to 26,000.
However, if tis mega index fails to cross above its current resistance of 25,500, then it will turn range bound and trade within its fibonacci levels, as we had discussed in trend analysis of global stocks over the weekend.
We had also discussed in that post how technical signals are not supporting the previous session’s rally in U.S. stock markets. Right now, the way U.S. stock futures are slipping before the opening bell, it looks possible that all these gains could be pared by the time U.S. stock markets open and major indexes turn range bound to trade within their last session’s range.
Pivot levels will help day traders to anticipate intraday support and resistance levels of major U.S. indexes. You can find those levels on our pivot trading page; or check those numbers here:
- Pivot Levels for Dow Jones
- Pivot Levels for Nasdaq 100
- Pivot Levels for Russell 2000
- Pivot Levels for S& P 500
Expect a volatile and range bound trading session in U.S. stock markets today. The intraday trend will depend if support levels dominate the trading pattern or resistance levels.
Watch how major indexes behave near those levels and trade with the short term trend.