E-Mini S&P Holds Onto Recent Gains Though Recovery Still Appears Corrective

Eurostoxx 50 futures traded higher last week as the correction from recent lows extends. Price has traded through resistance at both the 20- and 50-day EMAs. The broader trend condition is bearish, however, a clear break of the 50-day average, at 4184.10, would signal scope for a stronger bull cycle and open 4256.00, the Oct 12 high. On the downside, key support and the bear trigger lies at 4001.0, the Oct 27 low. S&P e-minis traded higher last week and the contract is holding on to its recent gains. The latest recovery still appears to be a correction, however, price has cleared the 20- and 50-day EMAs. The break of the 50-day average - a key short-term pivot level - has strengthened bullish conditions. Sights are on 4430.50, the Oct 12 high. Key support and the bear trigger has been defined at 4122.25, the Oct 27 low.

• Japan's NIKKEI closed lower by 436.66 pts or -1.34% at 32271.82 and the TOPIX ended 27.55 pts lower or -1.17% at 2332.91.
• Elsewhere, in China the SHANGHAI closed lower by 1.14 pts or -0.04% at 3057.27 and the HANG SENG ended 296.43 pts lower or -1.65% at 17670.16.
• Across Europe, Germany's DAX trades lower by 30.27 pts or -0.2% at 15104.55, FTSE 100 lower by 6.29 pts or -0.08% at 7410.83, CAC 40 down 25.03 pts or -0.36% at 6987.45 and Euro Stoxx 50 down 10.09 pts or -0.24% at 4147.89.
• Dow Jones mini down 70 pts or -0.2% at 34098, S&P 500 mini down 9.5 pts or -0.22% at 4375.5, NASDAQ mini down 26.75 pts or -0.18% at 15206.