Eurostoxx 50 Futures Trading Close to its Recent Highs

A bullish theme in Eurostoxx 50 futures remains intact. The contract traded higher last week and breached 4387.00, the Nov 24 high. The break confirms a resumption of the uptrend and maintains the bullish price sequence of higher highs and higher lows. Note that moving average studies are in a bull-mode position signalling a rising cycle. The focus is on 4446.00, the Aug 10 high. Initial firm support to watch is at 4328.20, the 20-day EMA. A bullish theme in S&P e-minis remains intact and last Friday’s push higher is a positive development. The contract is trading closer to its recent highs and so far, corrections have been shallow. Note too that moving average studies are in a bull-mode position and this highlights positive market sentiment. A resumption of gains would signal scope for a climb towards 4690.75, the Aug 2 high. Initial support lies at 4596.86, the 20-day EMA.

• Japan's NIKKEI closed lower by 455.45 pts or -1.37% at 32775.82 and the TOPIX ended 19.96 pts lower or -0.84% at 2342.69.
• Elsewhere, in China the SHANGHAI closed lower by 50.618 pts or -1.67% at 2972.296 and the HANG SENG ended 318.19 pts lower or -1.91% at 16327.86.
• Across Europe, Germany's DAX trades higher by 44.71 pts or +0.27% at 16445.48, FTSE 100 lower by 13.88 pts or -0.18% at 7497.87, CAC 40 up 28.94 pts or +0.39% at 7359.06 and Euro Stoxx 50 up 16.31 pts or +0.37% at 4429.88.
• Dow Jones mini down 30 pts or -0.08% at 36236, S&P 500 mini down 9 pts or -0.2% at 4567, NASDAQ mini down 65.25 pts or -0.41% at 15803.25.