June E-mini Dow Jones Industrial Average futures are trading higher late in the session on Friday, with financial and energy shares providing the biggest boost as investors bet on what is expected to be the fastest economic growth since 1984.
Banking stocks climbed after the Federal Reserve announced that banks could resume buybacks and raise dividends starting at the end of June. Dow components JPMorgan and Goldman Sachs rose 1.5% and 1%, respectively.
Energy stocks jumped 1.4%, tracking a boost in crude prices after a giant container ship blocking the Suez Canal spurred fears of a supply squeeze.
At 19:06 GMT, June E-mini Dow Jones Industrial Average futures are trading 32686, up 185 or +0.57%.
Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. Momentum also shifted to the upside after a five-day setback. A trade through 33116 will signal a resumption of the uptrend. The main trend will change to down on a move through 30429.
The minor trend is down. A new minor bottom was formed at 31951.
The main range is 29450 to 33116. Its retracement zone at 31283 to 30850 is the main support. This zone is controlling the near-term direction of the Dow.
The short-term range is 30429 to 33116. Its 50% level at 31951 is support.
The first minor range is 31613 to 33116. Its 50% level at 32365 is potential support.
The second minor range is 33116 to 31951. The Dow is trading on the strong side of its 50% level at 32534.
The direction of the June E-mini Dow futures into the close is likely to be determined by trader reaction to 32534.
A sustained move over 32534 will indicate the presence of buyers. If this move generates enough upside momentum then look for the rally to possibly extent into the record high at 33116.
A sustained move under 32534 will signal the presence of sellers. This could drive the Dow into 32365. This is a potential trigger point for an acceleration into 31951, followed by 31773.
For a look at all of today’s economic events, check out our economic calendar.