E-Mini S&P Holds Onto Friday's Gains

Eurostoxx 50 futures rallied late last week. This resulted in a break of key resistance at 4447.00, the Jul 3 high and a bull trigger. The rally has confirmed a resumption of the uptrend and marked the end of a broad sideways move that started May 19. Attention is on 4501.60 next, a Fibonacci projection. Key short-term support has been defined at 4331.00, the Jul 26 low. A break of this level would be a bearish development. The E-mini S&P contract traded to a high of 4634.50 Thursday before reversing. This highlights a possible short-term bearish signal. Price has found resistance at the top of a bull channel drawn from the Mar 13 low - the channel top is at 4643.65 today. A continuation lower would expose the 20-day EMA - at 4534.05 and a break of this level would strengthen bearish conditions. Clearance of the channel top is required to resume the uptrend.

• Japan's NIKKEI closed higher by 412.99 pts or +1.26% at 33172.22 and the TOPIX ended 31.95 pts higher or +1.39% at 2322.56.
• Elsewhere, in China the SHANGHAI closed higher by 15.114 pts or +0.46% at 3291.04 and the HANG SENG ended 162.38 pts higher or +0.82% at 20078.94.
• Across Europe, Germany's DAX trades higher by 14.84 pts or +0.09% at 16483.04, FTSE 100 lower by 9.07 pts or -0.12% at 7683.84, CAC 40 up 16.31 pts or +0.22% at 7492.54 and Euro Stoxx 50 up 7.42 pts or +0.17% at 4473.76.
• Dow Jones mini down 1 pts or 0% at 35587, S&P 500 mini up 1.5 pts or +0.03% at 4607.5, NASDAQ mini down 5 pts or -0.03% at 15841.25.