FOREX: FX OPTION EXPIRY

WTI futures traded lower yesterday. The contract is testing support at the 50-day EMA, at $81.23. A clear break of this average would strengthen a short-term bearish theme and highlight scope for a deeper correction. This would open $76.07, the Mar 11 low. Key resistance and the bull trigger has been defined at $86.97, the Apr 12 high. Initial resistance is at $84.46, the Apr 26 high. Gold traded lower Tuesday and breached initial support at $2291.6, the Apr 23 low. The precious metal has breached the 20-day EMA and this highlights a corrective cycle. A continuation lower would signal scope for an extension towards $2239.5, the 50-day EMA. Note that a short-term bear cycle would allow a significant overbought condition to unwind. Key resistance and the bull trigger is at $2431.5, the recent Apr 12 high.

• WTI Crude down $1.04 or -1.27% at $80.92
• Natural Gas down $0.05 or -2.61% at $1.939
• Gold spot down $1.46 or -0.06% at $2284.82
• Copper down $3.2 or -0.7% at $453.45
• Silver up $0.08 or +0.29% at $26.377
• Platinum down $0.97 or -0.1% at $936.95

Eurostoxx 50 futures are holding on to their recent gains from 4762.00, the Apr 19 low. The contract has breached the 20-day EMA and resistance at 4990.00, the Apr 15 high. This continues to highlight a potentially stronger reversal and the end of the correction between Apr 2 - 19. An extension higher would expose the bull trigger at 5079.00, the Apr 2 high. Key support lies at 4762.00. Initial support to watch is 4877.40, the 50-day EMA. The S/T trend condition in S&P E-Minis remains bearish and the latest recovery appears to have been a correction. The contract has recently traded through the 50-day EMA, signalling scope for a continuation lower. A resumption of the bear leg would open 4907.57, a Fibonacci retracement. Firm resistance at 5132.17, the 20-day EMA, has been pierced, a clear break would signal a reversal and expose key resistance at 5333.50, Apr 1 high.

• Japan's NIKKEI closed lower by 131.61 pts or -0.34% at 38274.05 and the TOPIX ended 13.77 pts lower or -0.5% at 2729.4.
• Dow Jones mini down 43 pts or -0.11% at 37950, S&P 500 mini down 15 pts or -0.3% at 5052, NASDAQ mini down 101.25 pts or -0.58% at 17469.75.