Equity markets looked like they were opening the week on the front foot, but since an early gap the ES Futures have given up its gains.

Over the weekend the Mueller report into Trump’s activities found that US or Trump campaign officials didn’t knowingly conspired with Russia in the 2016 election.

Markets probably didn’t take all that much notice and it would likely have only been an issue had the other side of the situation occurred.

Probably the main factors that we have to worry about is the weak stock lead from Friday that is weighing on Asia today as well as fears of a global recession on the back of an inverted yield curve.

So far this morning there have been little early moves on forex markets as the week gets underway. The ES opened higher but has sold off and is now down -0.28%.

Technical Outlook

The SPX is still holding above the 2800 level, however, only just.

The round number levels are the major focus at the moment and 2700 and 2800 the two key points of interest.

If price can break 2800 early in the week, then we will certainly open the door to some further sharp falls to the downside. Monday is looking like an important session.