Equity Futures Trade Within Recent Ranges; Tech Earnings Reports Take Focus

MNI US EARNINGS SCHEDULE - The quarterly earnings cycle hits a crescendo this week, with 45% of the S&P500’s total market cap set to report. Reports are persistent across the week, but today is likely the most notable session for the index, as Alphabet, McDonald’s, Microsoft, PepsiCo and Visa are all due. Earnings season so far has been relatively solid, with the average firm tending to beat on EPS and revenues – although EPS metrics have held up well relative to sales.

The Eurostoxx 50 futures uptrend remains intact and the contract is trading at its recent highs. The recent extension reinforced the bullish significance of the break of 4268.00, Mar 6 high and a former key resistance. The move confirmed a resumption of the uptrend and maintains the price sequence of higher highs and higher lows. Sights are on 4381.50, Jan 5 2022 high (cont). Initial firm support lies at 4274.00, the 20-day EMA. The trend outlook in S&P E-minis remains bullish and the latest move lower, from the Apr 18 high, is considered corrective. Support to watch lies at 4128.95, the 20-day EMA where a break is required to suggest scope for a deeper pullback - this would expose 4086.73, the 50-day EMA. Attention is on the 4200.00 handle, clearance of this level would resume the uptrend and open 4205.50, Feb 16 high ahead of 4244.00, Feb 2 high and key resistance.

• Japan's NIKKEI closed higher by 26.55 pts or +0.09% at 28620.07 and the TOPIX ended 4.81 pts higher or +0.24% at 2042.15.
• Elsewhere, in China the SHANGHAI closed lower by 10.541 pts or -0.32% at 3264.872 and the HANG SENG ended 342.06 pts lower or -1.71% at 19617.88.
• Across Europe, Germany's DAX trades lower by 11.66 pts or -0.07% at 15853.18, FTSE 100 lower by 17.85 pts or -0.23% at 7894.7, CAC 40 down 43.84 pts or -0.58% at 7530.02 and Euro Stoxx 50 down 22.4 pts or -0.51% at 4379.4.
• Dow Jones mini down 137 pts or -0.4% at 33868, S&P 500 mini down 21 pts or -0.5% at 4139.25, NASDAQ mini down 56.5 pts or -0.43% at 13001.75.