Sustained Move Higher in E-Mini S&P Reinforces Uptrend

Eurostoxx 50 futures have recovered from last week’s low of 4402.00 on Jan 17 and the contract traded sharply higher Wednesday. 4402.00 represents a key short-term support. A break of it would resume recent bearish pressure and open 4370.00, the Nov 28 low. On the upside, key resistance is at 4634.00, the Dec 14 high. Clearance of this level would confirm a resumption of the medium-term uptrend. Initial support lies at 4498.90, the 20-day EMA. The uptrend in S&P E-Minis remains intact and this week’s move higher reinforces current conditions. Resistance at 4841.50, the Dec 28 high has recently been cleared, confirming an extension of the price sequence of higher highs and higher lows. Moving average studies remain in a bull-mode condition, highlighting positive market sentiment. Sights are on 4952.45 next, a Fibonacci projection. Key support lies at 4721.08, the 50-day EMA.

• Japan's NIKKEI closed higher by 9.99 pts or +0.03% at 36236.47 and the TOPIX ended 2.7 pts higher or +0.11% at 2531.92.
• Elsewhere, in China the SHANGHAI closed higher by 85.337 pts or +3.03% at 2906.109 and the HANG SENG ended 312.09 pts higher or +1.96% at 16211.96.
• Across Europe, Germany's DAX trades lower by 55.45 pts or -0.33% at 16831.06, FTSE 100 higher by 0.1 pts or +0% at 7528.84, CAC 40 down 8.64 pts or -0.12% at 7444.02 and Euro Stoxx 50 down 5.63 pts or -0.12% at 4555.69.
• Dow Jones mini up 101 pts or +0.27% at 38067, S&P 500 mini up 4.5 pts or +0.09% at 4900.75, NASDAQ mini up 4.75 pts or +0.03% at 17621.5.