Modest Gains For Stoxx

Euro Stoxx 50 futures are +15 on the day, while the cash equivalent has added ~0.25%.

• A marginal uptick in crude oil futures and a positive lead from China/HK will have helped.
• Light headwinds for the broader USD will have also factored in.
• More recently, dovish ECB speak will have been supportive at the margin,
• As is the case with most markets, holidays in the UK & U.S. are limiting conviction and volumes, as well as reducing liquidity.
• Looking a little deeper, utilities and energy names lead the rally from a sectoral standpoint, while the IT and communications sectors have lodged modest losses (based on Euro Stoxx 50 sectors).
• Technically, the bullish theme in Euro Stoxx 50 futures remains intact and the recent pullback appears to be a correction.
• The contract has recently cleared key resistance at the Apr 2 high (5,079.00), to confirm a resumption of the uptrend. This opens 5,127.70 next, a Fibonacci projection.
• Conversely, the downside level to watch is the 50-day EMA (4,955.70).