TECHS: ***S&P futures (ESM0), have.........>

EQUITIES: TECHS: ***S&P futures (ESM0), have stalled at today's high of 2947.00.

A number of key technical factors have appeared on the radar:

- The contract is struggling at the 61.8% retrace of the Feb - Mar sell-off. The

retracement intersects at 2930.28.

- A potential head and shoulders reversal pattern has appeared on the daily

chart. It is always dangerous to pre-empt such patterns however, it does

reinforce the importance of 2771.00, May 4 low as support. If cleared, it would

confirm the H&S reversal pattern and a top in the recent 7-week uptrend.

- A key support zone exists at 2822/23, highlighted by the convergence of the 20

and 50-day EMAs. A breach would represent an early bearish warning sign.

- Key resistance has been defined at 2965.00, Mar 30 high. An ability to hold

above support and break resistance at 2965.00 would offset any bearish technical

signals and confirm a resumption of the uptrend.

- 2771.00 is seen as the key risk parameter. See chart:

- https://emedia.marketnews.com/marketnewsintl/SPX.png