S&P 500 E-mini futures: A swing short trade idea π
The S&P 500 E-mini futures have been in a strong uptrend for the past few months, but there are signs that the rally may be running out of steam. The index has been struggling to break above the 4200 level, and there is a bearish divergence forming on the RSI indicator.
In addition, the index is now trading below its 50-day moving average, which is a bearish signal. If the index fails to break above the 4200 level and starts to move lower, it could be the start of a larger correction.
With this in mind, a swing short trade idea could be to sell the S&P 500 E-mini futures with a stop-loss above the 4200 level and a target of the 4000 level. This trade would be looking to take advantage of a potential move lower in the index.
It's important to note that trading futures carries a high level of risk and may not be suitable for all investors. It's always important to do thorough research and analysis before making any trading decisions.