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Short-term trading levels for index futures ahead of US-China trade discussions

I recently wrote about potential topping patterns in US stock markets. Since then we have only seen small declines with markets seeing good recoveries after sell-offs. Over the past week or two we have mainly seen stock markets trading in a sideways direction but the longer-term outlook remains quite negative.

Here are the short-term trading levels for scalpers, while we wait for a breakout of the early October ranges.

For the E-mini S&P 500, the key resistance is at 2954/58. Try short positions with stops above 2968. A break higher is a short-term buy signal targeting 2975, 2982, 2986 and 2992/94.

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There is minor support at 2942/40 but a move below targets 2935/32 and support at 2928/24. Long positions need stops below 2917 for 2907/05 and perhaps as far as support at 2900/2898. Below 2896 risks a slide to 2888/86 and minor support at 2880/78. If we continue lower look for 2875/73 before a buying opportunity at 2860/50, with stops below 2840.

The first resistance for the Nasdaq 100 is at 7790/7800, but a move above 7820 targets 7840/42 and perhaps as far as 7870/73. Above here look for 7900/05.

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Failure to beat 7790/7800 targets 7760 and first support at 7730/20. Long positons need stops below 7700 for 7675/65 and 7640/35. Look for second support at 7595/85.

For the E-mini Dow Jones, the key resistance is at 26630/670. Short positions need stops above 26700 to target 26770/790, perhaps as far as 26830/840. If we continue higher look for 26920/940 and 27030/040.

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There is minor support at 26525/505, then strong support at 26365/345. Below 26300 look for 26220/200 and 26080/030.

DAX 30 bulls need to clear 12220 for a buy signal targeting 12260/270 and 12320/330, perhaps as far as 12380/390. A break above 12400 targets 12430/440 and 12480/490.

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Failure to beat strong resistance at 12180/200 targets 12145/135 and first support at 12110/100. On a break lower look for 12070/060 and 12020/000. There is minor support at 11965/955 but a move below 11930 risks 11880/870 then good support at 11810/800, and good support again at 11750/11730.

Jason Sen

Technical Analyst & Trader

For more information and trading education visit Intertrader

The content of this article is the personal opinion of the author and not Intertrader. You should under no circumstances consider the information and comments provided as an offer or solicitation to invest. This is not investment advice. The information provided is believed to be accurate at the date the information is produced.

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