E-Minis Look Through Friday’s Low

S&P 500 e-minis have looked through Friday’s low, registering worst levels of the day at 4,057.75 in the process, with the previously outlined risk-negative weekend headline flow keeping participants on edge. Adding to the risk-off feel is the fact that Russian President Putin will speak later on Monday (during Russia’s annual Victory Day parade), with participants wary of the potential for fresh headline risk surrounding the Russia-Ukraine conflict.

• Technically, the trend direction remains down. Attention is on the May 2 low (4,056.00) where a break would confirm a resumption of the downtrend and pave the way for a sell-off towards the 4,000 psychological level (only protected by the May 13 ’21 low at 4,029.25). A break of the April 26 high (4,303.50) is required to alter the short-term picture.