E-Mini S&P Dips Through the European Open

A bearish threat in Eurostoxx 50 futures remains present following the recent reversal from 4513.00, the Jul 31 high. Short-term gains are considered corrective. Price remains below both the 20- and 50-day EMAs and attention is on support at 4276.00, the Aug 8 low. Clearance of this level would strengthen a bearish threat and expose 4220.00, the Jul 7 low. Initial firm resistance is 4420.00, Aug 10 high. Bearish conditions in the E-mini S&P contract remain intact and short-term gains are considered corrective. Price is trading closer to its recent lows. Last Friday’s move lower resulted in a test of the 50-day EMA at 4464.19. A clear break of this average would expose 4456.29, the base of a bull channel drawn from the Mar 13 low. Clearance of this support would strengthen a bearish threat. Resistance to watch is 4560.75, Aug 4 high.

• Japan's NIKKEI closed higher by 178.98 pts or +0.56% at 32238.89 and the TOPIX ended 9.42 pts higher or +0.41% at 2290.31.
• Elsewhere, in China the SHANGHAI closed lower by 2.251 pts or -0.07% at 3176.176 and the HANG SENG ended 192.44 pts lower or -1.03% at 18581.11.
• Across Europe, Germany's DAX trades lower by 118.88 pts or -0.75% at 15788.95, FTSE 100 lower by 95.88 pts or -1.28% at 7409.11, CAC 40 down 71.52 pts or -0.97% at 7278.25 and Euro Stoxx 50 down 38.21 pts or -0.88% at 4292.7.
• Dow Jones mini down 165 pts or -0.47% at 35214, S&P 500 mini down 19.25 pts or -0.43% at 4488.25, NASDAQ mini down 54.5 pts or -0.36% at 15219.