European, US Equity Futures Pullback Contained So Far

Eurostoxx 50 futures is holding on to its most recent gains and remains above support at 4228.60, the 50-day EMA. The recent move down is considered corrective and the broader uptrend remains intact. A continuation higher would signal scope for a test of 4363.00, the Apr 21 high and bull trigger. Clearance of this level would confirm a resumption of the uptrend. A clear break of the 50-day EMA is required to signal a top. S&P E-minis reversed course last Friday and prices have climbed back above the 50-day EMA, which intersects at 4101.79. A continuation higher would refocus attention on key resistance and the bull trigger at 4206.25, the May 1 high. A breach of this level would confirm a resumption of the bull trend that started Mar 13. Key support has been defined at 4062.25, the May 4 low. A break through this support would be bearish.

• Japan's NIKKEI closed higher by 292.94 pts or +1.01% at 29242.82 and the TOPIX ended 26.34 pts higher or +1.27% at 2097.55.
• Elsewhere, in China the SHANGHAI closed lower by 37.333 pts or -1.1% at 3357.671 and the HANG SENG ended 429.45 pts lower or -2.12% at 19867.58.
• Across Europe, Germany's DAX trades lower by 38.86 pts or -0.24% at 15926.64, FTSE 100 lower by 19.53 pts or -0.25% at 7762.41, CAC 40 down 53.85 pts or -0.72% at 7396.58 and Euro Stoxx 50 down 28.17 pts or -0.65% at 4325.14.
• Dow Jones mini down 113 pts or -0.34% at 33583, S&P 500 mini down 14.5 pts or -0.35% at 4139.25, NASDAQ mini down 54.5 pts or -0.41% at 13299.5.