E-Mini S&P Extends Pullback from 50-Day EMA

A bearish theme in Eurostoxx 50 futures remains in play and this week’s move signals the end of the recent Oct 4 - 12 corrective cycle. Note too that resistance at the 50-day EMA, at 4241.70, remains intact. A clear break of this average is required to signal scope for a stronger correction. Sights are on the bear trigger at 4082.00, the Oct 4 low. Clearance of this level would confirm a resumption of the downtrend.S&P e-minis found resistance last week at 4430.50 (Oct 12 high) and this means that - for now - resistance at the 50-day EMA, at 4422.22, remains intact. A clear breach of the average is required to strengthen bullish conditions and this would open 4486.12, trendline resistance drawn from the Jul 27 high. On the downside, a deeper pullback would open 4235.50, the Oct 4 low and bear trigger.

• Japan's NIKKEI closed lower by 611.63 pts or -1.91% at 31430.62 and the TOPIX ended 31.18 pts lower or -1.36% at 2264.16.
• Elsewhere, in China the SHANGHAI closed lower by 53.317 pts or -1.74% at 3005.393 and the HANG SENG ended 436.63 pts lower or -2.46% at 17295.89.
• Across Europe, Germany's DAX trades lower by 69.86 pts or -0.46% at 15030.59, FTSE 100 lower by 86.33 pts or -1.14% at 7503.67, CAC 40 down 63.36 pts or -0.91% at 6901 and Euro Stoxx 50 down 21.48 pts or -0.52% at 4084.93.
• Dow Jones mini down 90 pts or -0.27% at 33720, S&P 500 mini down 11.5 pts or -0.26% at 4330, NASDAQ mini down 24.75 pts or -0.16% at 14994.