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Major Support & Resistance (pivot points – explained):
Pivot Point: 6850; Support 1, 2 & 3: 6829, 6791, 6770; Resistance 1, 2 & 3: 6887, 6908, 6945
Global growth fears from weak US & EZ data took us off the highs of 6897 last week and China added fuel to the fire over the weekend with worrying property price data reviving fears of a slowdown in the world’s #2 economy. No expectations of stimulus holding things up this morning.
The index’s trendline of prior rising support on the 3-month chart is now acting as resistance. The long-term chart still suggests natural correction amid uptrend but with a revisit of 6500-6600 (-4.3 to -5.7% from highs) necessary for full consolidation. The other charts show support around 6750 (2% from highs) should this be just a pause for breath.
A quiet start to the week for data although the prospect of less London M&A, with a supposedly ‘final’ offer by Pfizer being rejected by AstraZeneca and mooted predator AT&T having opted for DirecTV over supposed prey Vodafone, as well as China slowdown worries holding back the miners and banks, all weighing on the index.
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Solid Green line
Possible support
Solid Red line
Possible resistance
Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.
Click here for help with Support & Resistance Click here for help with technicals
Solid Green line
Possible support
Solid Red line
Possible resistance
Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.
Click here for help with Support & Resistance Click here for help with technicals
Solid Green line
Possible support
Solid Red line
Possible resistance
Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.
Click here for help with Support & Resistance Click here for help with technicals
Solid Green line
Possible support
Solid Red line
Possible resistance
Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.
Click here for help with Support & Resistance Click here for help with technicals
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