E-Minis Biased A Touch Higher Ahead Of NY Cash Open

Global core FI yields have moved back from lows, although hope re: Chinese stimulus and the lingering impact of Monday’s Fedspeak have combined to counter any yield spill over.

• That leaves the major e-mini futures running little changed to 0.3% firmer, with the DJIA contract outperforming.
• In terms of stocks specifics, Pepsi is indicated the best part of 2% higher pre-market, with the name beating Q3 EPS projections alongside marking its guidance higher.
• Technically, a bear cycle in S&P 500 e-minis remains in play, despite Friday’s sharp corrective rally and the follow through this morning. The contract traded lower last Wednesday, confirming a resumption of the bear leg once again. This maintains the price sequence of lower lows and lower highs and signals scope for weakness towards 4,194.75, the May 24 low. Pivot resistance is 4,441.61, the 50-day EMA. Ahead of the 50-day average is resistance at 4,381.68, the 20-day EMA, with the pre-cash high just below that level.