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LEVELS TO WATCH: The recent risk off.......>

EQUITIES
EQUITIES: LEVELS TO WATCH: The recent risk off mood has eased as markets
continue to anticipate a CB easing despite no coordinated G7 response. Equities
entered deep oversold territory last week raising the risk of a correction.
***SPX KEY LEVEL: RES: 3188.13, 61.8% of Feb 19 - Feb 28 sell-off
                  SUP: 12822.12, Aug 5, 2019 low.
- SPX is retracing the recent sell-off. A move towards 3188.13 is possible to
sufficiently unwind the oversold condition.
- Our intraday trend direction model remains in a bear-trend condition.
- A break of 2822.12 would open 2728.81, the June 2019 low.
***EUROSTOXX 50 KEY LEVEL: RES: 5862.64. 50% of the Feb 20 - Mar 2 downleg
                           SUP: 3239.20, Aug 15, 2019 low.
- The index has recovered off its recent lows but less impressively.
Nevertheless, an unwinding of the oversold condition would open 8562.64.
- Our trend direction model is unchanged and bearish
- The key question is by how much have last week's events dented the broader
bullish market confidence that dominated the past decade?

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