S&P 500 Futures to move towards 3300 on a break of 3212.25 – Charles Schwab

The June 2020 E-mini S&P 500 futures (ESM20) is testing the 3212.25 and a break above here could clear the path towards the 3300 level, per Charles Schwab.

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Key quotes

“Looking at the daily chart for the June 2020 E-mini S&P 500 futures (ESM20), we notice the market has moved up to test the next chart resistance level at the January 31 low of 3212.25.”

“The market has now held above the 200-day moving average for the eighth consecutive trading session with momentum as measured by the 14-day RSI finally moving into overbought territory with a current reading of 72.81.”

“The market has not spent much time this year in the 3200 to 3300 price level so a weekly close above resistance at 3212.25 could see a move towards 3300.00 if momentum based funds start adding to long positions.”

“On the down side, we see near-term support at the May 28 highs of 3065.50, with strong support near the 200-day moving average currently near the 3005.00 price area.”