E-Mini S&P Targets 3946.36 50-Day EMA to Signal Stronger Recovery

EUROSTOXX 50 futures have recovered from recent lows and the contract is trading higher today. Price has arrived at the 20-day EMA, at 3886.10 - a key short-term resistance. A clear breach of this hurdle would suggest potential for a stronger recovery. Gains are considered corrective - for now. A reversal lower and a break of 3753.00, the Dec 20 low, would confirm a resumption of the recent downtrend. The bull trigger is at 4043.00, Dec 13 high. S&P E-Minis trend signals are bearish and this week’s low print reinforces this condition. The contract has recovered from its recent lows. The move higher is considered corrective and attention is on 3946.36, the 50-day EMA. A clear break of this hurdle is required to suggest potential for a stronger recovery. On the downside, a reversal lower and a break of 3803.50, the Dec 20 low, would confirm a resumption of the downtrend.

• Japan's NIKKEI closed higher by 120.15 pts or +0.46% at 26507.87 and the TOPIX ended 14.85 pts higher or +0.78% at 1908.17.
• Elsewhere, in China the SHANGHAI closed lower by 13.979 pts or -0.46% at 3054.431 and the HANG SENG ended 518.73 pts higher or +2.71% at 19679.22.
• Across Europe, Germany's DAX trades higher by 46.81 pts or +0.33% at 14144.57, FTSE 100 higher by 38.51 pts or +0.51% at 7528.66, CAC 40 up 26.24 pts or +0.4% at 6601.62 and Euro Stoxx 50 up 11.57 pts or +0.3% at 3883.42.
• Dow Jones mini up 42 pts or +0.13% at 33605, S&P 500 mini up 6.5 pts or +0.17% at 3912.5, NASDAQ mini up 24.25 pts or +0.21% at 11360.75.