SP 500 near important support area

• If SP 500 closes below 1104 it's going to be a negative one for the bulls
• Because that means three things. first one is that it is closing below 50 hour SMA as you can see from the first chart.
• Second it is closing below an important support area.
• Third one and the most important is that the breakout that happened is false one. 

EUR/USD under the cloud

• Euro went below the ichimoku cloud at 1.47
• Since then the pair has been facing stiff resistance from the cloud.
• Now The pair is trading near the cloud.
• Even before attempting to go near the ichimoku cloud the pair is getting sold off.

Dow jones and the fifty DMA

• Yesterday dow faced big resistance in the form of 50 DMA.
• Dow corrected more than 100 points yesterday after touching 50 DMA.
• So this average will act as resistance for some time. If dow closes above it than 10730 will surely come.
• But it seems its going to be a big fight near the 50 DMA.
• On a closing basis 10390-10400 should give support but  the resistance above is too strong and Bulls need this range to be held for crossing the 50 DMA.

Apple Bearish engulfing and channel resistance

• Apple Share has been outperforming the indexes with the help of its iphone and ipad sales. Also performing far better than its rivals like Microsoft.
• Fundamentals of the company seems to be very strong. Technically too the share is trading above its 200 day and above its 50 day moving average.
• Yesterday the the daily chart has produced a bearish engulfing pattern. And when it comes at the top of the trend it is a very good signal of an impending correction.
• And the second chart shows a channel. The share trading near the top of the channel. One can expect the stock to dip till the 50 DMA if the channel is not broken on the upside.

US Markets View before opening bell

Wall street is pointing to a lower opening on tuesday, S&P 500, Dow Jones, and Nasdaq Futures were all trading in red. The chinese currency stand gave good profits on monday and now the traders around the world seems to be booking some profits.

US futures were trading in red mainly due to the housing data that is to be released today. The National Association of Realtors and the Federal Housing Finance Agency will release home sales and home price index data for the month of may and april at 1400 GMT. And traders are also eying a Federal Open Market Commitee about to have a two day meeting on Tuesday.

European indices are also trading in red. Crude oil went down by more than 1% the oil traders realised that the gradual appreciation of the chinese currency will not have a big impact in the short term atleast.

MARKETS	CURRENT	CHANGE IN PERCENTAGE
UK 100	5299	-1.65%
France 40	3688	-1.29%
Germany 30	6240	-0.83%
JapanNI225	10112.89	-1.22%
Hang Sen 40	20819.08	-0.45%

• EUR/USD HAS BROKEN THE CHANNEL CLICK HERE TO SEE THE CHART

EUR/USD raising channel broken

UPDATED CHART

• Eur/usd broke the channel yesterday.
• Now that one candle has closed outside channel the break is confirmed.
• Unless it trades above 1.23 it will be negative for the short term.
• Right now it is trading at 1.22 region.

Us dollar has to break this resistance

• Above is a monthly chart of usdollar.
• So any more rally in this index is possible only if it breaks and closes above 89 or 90.
• Till then the multi month resistance line will stop it from moving ahead.