SVB-Inspired Equity Sell Off Bleeds into Friday Morning

Eurostoxx 50 futures are trading lower today. Price has moved below a key support at 4249.30 - the base of a bull channel drawn from the Oct 13 low. A clear break of this channel base would threaten the uptrend that has been in place since late September last year. An initial downside objective would be 4167.40, the 50-day EMA. Key resistance has been defined at the 4328.00, the Mar 6 high and the bull trigger. S&P E-Minis sold off Thursday and the contract is trading lower once again today. Price has cleared key short-term support at 3925.00, the Mar 2 low and this confirms a resumption of the bear cycle that has been in place since the Feb 2 reversal. The move lower signals potential for an extension towards the 3800.00 handle and support at 3788.50, the Dec 22 low. Initial firm resistance is seen at 4015.27, the 50-day EMA.

• Japan's NIKKEI closed lower by 479.18 pts or -1.67% at 28143.97 and the TOPIX ended 39.51 pts lower or -1.91% at 2031.58.
• Elsewhere, in China the SHANGHAI closed lower by 46.017 pts or -1.4% at 3230.077 and the HANG SENG ended 605.82 pts lower or -3.04% at 19319.92.
• Across Europe, Germany's DAX trades lower by 219.31 pts or -1.4% at 15411.86, FTSE 100 lower by 131.83 pts or -1.67% at 7748.1, CAC 40 down 105.65 pts or -1.44% at 7210.23 and Euro Stoxx 50 down 66.42 pts or -1.55% at 4219.7.
• Dow Jones mini down 115 pts or -0.36% at 32145, S&P 500 mini down 9 pts or -0.23% at 3911, NASDAQ mini up 13.75 pts or +0.11% at 12021.