Eurostoxx Futures Continue to Ease Off Last Week's Highs

Eurostoxx 50 futures traded higher last week. The rally resulted in a move above the 50-day EMA at 4335.00 and price is through 4371.00, the Jul 6 high. Clearance of this latter level highlights a potentially stronger bull cycle and attention is on key resistance and the bull trigger at 4447.00, the Jul 3 high. Key support and the bear trigger has been defined at 4220.00, the Jul 7 low. Initial support is at the 50-day EMA. A bull theme in S&P E-minis remains intact. This week’s rally has resulted in a break of resistance at 4498.00, the Jun 30 high. The break confirms a resumption of the uptrend and maintains a bullish price sequence of higher highs and higher lows. The contract has also traded through 4500.00 and this opens 4576.62, a Fibonacci projection. First support lies at 4439.81, the 20-day EMA. Clearance of this level would highlight a S/T bearish threat.

• Japan's NIKKEI closed higher by 102.63 pts or +0.32% at 32493.89 and the TOPIX ended 13.18 pts higher or +0.59% at 2252.28.
• Elsewhere, in China the SHANGHAI closed lower by 11.81 pts or -0.37% at 3197.82 and the HANG SENG ended 398.06 pts lower or -2.05% at 19015.72.
• Across Europe, Germany's DAX trades higher by 19.9 pts or +0.12% at 16089.12, FTSE 100 higher by 17.35 pts or +0.23% at 7424.52, CAC 40 up 14.3 pts or +0.2% at 7305.96 and Euro Stoxx 50 up 6.9 pts or +0.16% at 4363.69.
• Dow Jones mini up 6 pts or +0.02% at 34769, S&P 500 mini down 0.5 pts or -0.01% at 4553.25, NASDAQ mini down 11.5 pts or -0.07% at 15828.5.