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December E-mini Dow Jones Industrial Average futures surged to a new intraday high Monday after Congress approved an infrastructure spending package over the weekend.

The U.S. House of Representatives late Friday passed a more than $1 trillion infrastructure bill, sending the legislation to President Joe Biden for his signature. First passed by the Senate in August, the package would provide new funding for transportation, utilities and broadband, among other infrastructure projects.

Daily December E-mini Dow Jones Industrial Average

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through the intraday high at 36446 will signal a resumption of the uptrend. A move through 33984 will change the main trend to down.

The minor trend is also up. A trade through 35383 will change the minor trend to down. This will also shift momentum to the downside.

The first minor range is 35383 to 36446. Its 50% level or pivot at 35915 is the nearest support.

The second minor range is 33984 to 36446. If the minor trend changes to down then its 50% level at 35215 will become the next downside target.

Daily Swing Chart Technical Forecast

The direction of the December E-mini Dow Jones Industrial Average into the close on Monday will be determined by trader reaction to 36215.

Bullish Scenario

A sustained move over 36215 will indicate the presence of buyers. This could lead to a retest of the intraday high at 36446. This is a potential trigger point for an acceleration to the upside.

Bearish Scenario

A sustained move under 36215 will signal the presence of sellers. If this move generates enough downside momentum then look for a possible test of the first 50% level at 35915.

A close under 36215 will form a potentially bearish closing price reversal top. If confirmed, this could lead to the start of a 2 to 3 day correction.