Index Futures Consolidating Close to Recent Lows

EUROSTOXX 50 futures remain below last week's high of 3492.00 on Oct 6. The 50-day EMA, at 3481.50, remains intact and continues to provide resistance. The broader trend direction is down and a continuation lower would open the key support and bear trigger at 3236.00, the Oct 3 low. For bulls, a move above the 50-day EMA is required to highlight a stronger reversal. S&P E-Minis are consolidating. The contract remains below last week’s high of 3820.00 on Oct 5. This level marks a key resistance, where a break is required to reinstate a short-term bullish theme. The broader trend remains down and attention is on the bear trigger at 3571.75, the Oct 3 low. A break of this level would confirm a resumption of the broader downtrend and open 3558.97, a Fibonacci projection.

• Japan's NIKKEI closed lower by 159.41 pts or -0.6% at 26237.42 and the TOPIX ended 14.39 pts lower or -0.77% at 1854.61.
• Elsewhere, in China the SHANGHAI closed lower by 9.15 pts or -0.3% at 3016.356 and the HANG SENG ended 311.92 pts lower or -1.87% at 16389.11.
• Across Europe, Germany's DAX trades higher by 26.71 pts or +0.22% at 12202.04, FTSE 100 lower by 32.61 pts or -0.48% at 6793.71, CAC 40 down 17.47 pts or -0.3% at 5803.19 and Euro Stoxx 50 down 9.36 pts or -0.28% at 3323.38.
• Dow Jones mini up 43 pts or +0.15% at 29300, S&P 500 mini up 3.25 pts or +0.09% at 3591.25, NASDAQ mini down 10.75 pts or -0.1% at 10827.75.