Bullish Theme Intact Despite Tuesday Pullback

The trend condition in S&P E-Minis is unchanged and remains bullish, however, the move lower yesterday highlights a corrective cycle that suggests potential for a bearish extension. The contract has breached bull channel support - at 5282.02 - drawn from the Jan 17 low. A bullish trend condition in Eurostoxx 50 futures remains intact and the latest pullback appears to be a correction. Yesterday’s fresh cycle highs confirms once again an extension of the uptrend and maintains the price sequence of higher highs and higher lows.

• Japan's NIKKEI closed lower by 387.06 pts or -0.97% at 39451.85 and the TOPIX ended 7.94 pts lower or -0.29% at 2706.51.
• Elsewhere, in China the SHANGHAI COMPOSITE closed lower by 5.662 pts or -0.18% at 3069.296 and the HANG SENG ended 206.42 pts lower or -1.22% at 16725.1.
• Across Europe, Germany's DAX trades higher by 24.98 pts or +0.14% at 18310.69, FTSE 100 lower by 48.47 pts or -0.61% at 7886.32, CAC 40 up 3.17 pts or +0.04% at 8133.91 and Euro Stoxx 50 up 11.97 pts or +0.24% at 5054.48.
• Dow Jones mini down 39 pts or -0.1% at 39468, S&P 500 mini down 6 pts or -0.11% at 5254.25, NASDAQ mini down 29 pts or -0.16% at 18300.25.