|

S&P 500 futures (ESM2025) gap-driven rally poised to propel S&P 500 futures above 5,960

S&P 500 Futures (ESM2025) – 5 Min Chart Analysis (Week of May 12–17)

Market context

  • Uptrend Resilient: Following the sharp gap higher on May 13, ES has maintained a consistent up-channel formation, confirming bullish order flow into the end of the week.
  • VWAP Alignment: Price remains above the VWAP mid-line (blue), indicating institutional buyers have underpinned rallies throughout the week.
  • Volume Profile: Noticeable spikes at the 5,845–5,860 area (long liquidation) have now turned into value-area lows, shifting support higher toward 5,880–5,900.

Key levels

LevelPriceSignificance

Immediate Resistance 5,960 Recent swing highs—break confirms further upside

Secondary Resistances 5,969 / 5,981 / 6,000 Fibonacci & prior pivots from May 14 & 15

Immediate Support 5,926.75 61.8% retrace of May 13 gap, held twice

Secondary Supports 5,904 / 5,870 23.6% retrace of broader channel & lower channel base

Bullish scenario

  1. Clear 5,960 Breakout:
    • A sustained trade above 5,960 with follow-through volume would target the next confluence zone at 5,969 (50% Fib of the mini-swing), then 5,981 (78.6% Fib) and psychological 6,000.
    • Above 6,000, the upper pitch of the Andrews' channel nears 6,038–6,045 and 6,064 (127–161.8% extensions).
  2. Channel Continuation:
    • As long as price remains within the rising cyan channel, buyers can lean into pullbacks toward its mid-line (currently ~5,925) and expect higher highs into opex Friday.

Bearish scenario

  1. Rejection at 5,960–5,969:
    • Failure to clear 5,960 on a closing basis risks a swing down to 5,943 (23.6% Fib of the May 13 rally) and a retest of VWAP mid-line.
    • A break below 5,926.75 would open 5,904 (38.2% Fib) and channel base support at ~5,870.
  2. Loss of VWAP / Major Support:
    • If sellers drive price beneath the VWAP band, look for accelerated selling toward 5,845 (0% Fib of the gap) and the lower rail of the broader up-channel near 5,815.

Projection into week's close

  • Bullish Bias: Given strong gap support and repeated holds above 5,926.75, the path of least resistance is higher.
  • Watch Volume: Confirmation of follow-through on a break above 5,960 is critical; a lack of volume increases the odds of a retest of VWAP and lowers channel support.
  • End-of-Week Target: If bulls prevail, 5,981–6,000 will likely be a magnet by Friday's settlement, especially into month-end positioning flows.

Trading Strategy Ideas

  • Long Entry: On clear 5,960 breakout with 1–2-bar retest; stop under 5,940; targets 5,981 & 6,000.
  • Short Entry: If 5,960 is rejected and VWAP mid-line breaks, stop above 5,969; targets 5,904 & 5,870.

Author

Denis Joeli Fatiaki

Denis Joeli Fatiaki

Independent Analyst

Denis Joeli Fatiaki possesses over a decade of extensive experience as a multi-asset trader and Market Strategist.

More from Denis Joeli Fatiaki
Share:

Editor's Picks

GBP/USD climbs to two-day highs past 1.3200

GBP/USD picks up extra pace and surpasses the 1.3200 threshold on Thursday. That said, Cable manages to shrug off initial weakness and regain balance on the back of the fresh selling pressure hurting the Greenback.

EUR/USD stays consolidative around 1.1370

EUR/USD regains momentum and trades with modest gains around 1.1370 ahead of the opening bell in Asia. The pair sets aside three daily declines in a row and picks up pace on the back of the lacklustre performance of the US Dollar, particularly after US data failed to reinforce Fed rate hike bets.

Gold bounces from 2026 lows, remains pressured

Gold reverses part of its recent weakness on Thursday, managing to reclaim the area just above the $4,000 mark per troy ounce. The precious metal regains traction on the back of renewed selling interest in the Greenback, although expectations of rate hikes by the Fed are likely to keep buyers on the sidelines for now.

Three reasons to avoid buying Bitcoin at $60,000
Bitcoin (BTC) hovers around $62,000 on Thursday, recovering from a brief dip below $60,000 the previous day. Although dip buyers anticipate a rebound in BTC from its psychological support zone, bearish signals from the upcoming Bitcoin options expiry, Exchange Traded Funds (ETFs) outflows, and large-wallet investor activity warn that selling could snowball in the coming period.
Micron prints perfect, and now the chart has to answer
Memory’s biggest name just delivered the cleanest quarter of its life, and the most interesting thing about it is that the stock isn’t sure what to do with it. Micron closed out fiscal Q3 with revenue of $41.5 billion, up 346% on the year, a fifth straight record. Gross margin came in at 84.9%, up from 39% the same quarter a year ago. Earnings landed at $25.11 against a Street sitting near $20.49.
Regime change: Inside Kevin Warsh's first move to make the Fed unreadable on purpose

The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.