S&P 500 E-Mini: Bear trend intact, despite rebound |

Hi there traders, this is Steve Miley for forextraders.com and we’re now going to turn our attention to the equity markets which are very much a big driving force right now for most global markets and also foreign exchange markets.

So, we’re looking at the benchmark index for the US, the S & P 500. We’re looking at the future on the S&P 500 and a very negative theme in here this week – a very negative ISM manufacturing data in here earlier this week saw the initial plunge lower on Wednesday. And then Thursday a WTO group decision regarding US and Europe potentially escalating trade war tensions.

So all of this is being seen as a more “risk-off” scenario. A big sell off this week, and then a spike lower again yesterday on the ISM non manufacturing data as well, down to 2855 – it’s really wiped out a lot of this positivity from the latter September recovery and leaves very much a negative theme going into today and we’re looking for down-side pressures to come back through.

So very much still into “risk-off” scenario going into the US employment report. We’re looking for challenges down to these supports in here down to 2897.75 / 77.5 and maybe back down to 55 / 54.25 targets in here going into today. It’s going to take a push back higher up through 2912.5 / 29.15 Only through there signals a slightly more positive tone for 2927.75.

But our bias lower going into today’s key US employment report.

This has been Steve Miley for forextraders.com.

Don’t forget to follow us on our YouTube channel and we’ll be back with you soon.

Have a great trading day.

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