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(U2) Resumes Its Downtrend

EUROSTOXX50 TECHS
  • RES 4: 3822/40.00 High Aug 17 / High Jun 6 and key resistance zone
  • RES 3: 3782.00 High Aug 18
  • RES 2: 3705.00 High Aug 26 and key near-term resistance
  • RES 1: 3629.00 High Aug 30
  • PRICE: 3487.00@ 05:30 BST Sep 1
  • SUP 1: 3456.00 76.4% retracement of the Jul 5 - Aug 17 rally
  • SUP 1: 3386.00 Low Jul 15
  • SUP 3: 3362.00 Low Jul 14
  • SUP 4: 3343.00 Low Jul 5 and a key bear trigger

EUROSTOXX 50 futures remain bearish and yesterday’s move lower confirms a resumption of the downtrend. The contract has cleared 3526.00, 61.8% retracement of the Jul 5 - Aug 17 rally. This sets the scene for a move towards 3456.00 next, the 76.4% retracement. A break of this level would strengthen bearish conditions and expose key support at 3343.00, the Jul 5 low. On the upside, a firm short-term resistance has been defined at 3629.00.

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