Equity Futures Targeting Mid-September Highs

A bullish EUROSTOXX 50 futures theme remains intact. This follows the recent breach of trendline resistance drawn from the Aug 17 high and the break of the 50-day EMA. Scope is seen for an extension higher near-term and sights are on 3678.00, the Sep 13 high and a key short-term resistance. Firm support is seen at the 50-day EMA. The average intersects at 3498.10. S&P E-Minis maintains a bullish tone and Friday’s resumption of the short-term uptrend reinforces current conditions. Last week’s climb resulted in a break of the 3820.00 hurdle, Oct 5 high. Furthermore, price has traded above the 50-day EMA, at 3836.32. Sights are on 3981.25 next, the Sep 14 high. On the downside, key short-term support has been defined at 3641.50, the Oct 21 low. Initial firm support to watch is at 3757.50, the Oct 27 low.

• Japan's NIKKEI closed higher by 91.46 pts or +0.33% at 27678.92 and the TOPIX ended 9.07 pts higher or +0.47% at 1938.5.
• Elsewhere, in China the SHANGHAI closed higher by 75.716 pts or +2.62% at 2969.199 and the HANG SENG ended 768.25 pts higher or +5.23% at 15455.27.
• Across Europe, Germany's DAX trades higher by 147.55 pts or +1.11% at 13411.46, FTSE 100 higher by 108.53 pts or +1.53% at 7206.27, CAC 40 up 103.37 pts or +1.65% at 6370.44 and Euro Stoxx 50 up 50.71 pts or +1.4% at 3669.3.
• Dow Jones mini up 201 pts or +0.61% at 32981, S&P 500 mini up 33 pts or +0.85% at 3917, NASDAQ mini up 117.5 pts or +1.03% at 11565.5.