Recent Gains Corrective with Futures Outlook Still Bearish

S&P E-Minis trend conditions remain bearish and short-term gains are considered corrective. The recent move lower strengthens bearish conditions and attention is on key support at 3657.00, the Jun 17 low. EUROSTOXX 50 futures trend conditions remain bearish and yesterday’s fresh trend low reinforces current conditions. This week's bearish extension confirms a continuation of the reversal on Sep 13 from 3678.00.

• Japan's NIKKEI closed lower by 484.84 pts or -1.84% at 25937.21 and the TOPIX ended 32.86 pts lower or -1.76% at 1835.94.
• Elsewhere, in China the SHANGHAI closed lower by 16.815 pts or -0.55% at 3024.39 and the HANG SENG ended 56.96 pts higher or +0.33% at 17222.83.
• Across Europe, Germany's DAX trades higher by 147.93 pts or +1.24% at 12124.5, FTSE 100 higher by 68.39 pts or +0.99% at 6949.98, CAC 40 up 67.7 pts or +1.19% at 5745.23 and Euro Stoxx 50 up 37.08 pts or +1.13% at 3316.32.
• Dow Jones mini up 219 pts or +0.75% at 29493, S&P 500 mini up 33.5 pts or +0.92% at 3685.5, NASDAQ mini up 104.25 pts or +0.93% at 11325.