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Markets are mixed this morning with Europe showing losses in earlier trading continuing from yesterday’s fall while US futures are indicating a stronger open for the Dow after a 1.5% fall yesterday. The markets could see some volatility today as traders try to gauge whether this week’s sell off is due to profit taking or the start of a bigger correction. Tech stocks in the US drove markets lower yesterday, while comments from BoE governor Mark Carney suggesting an interest rate rise is close sent the UK Index lower.
The UK’s UK 100 is trading at 6 week lows this morning falling below both the 20 and 50 day MAs. It’s now trading below the major MAs while the RSI is very close to the oversold level. Support seems weak until around 6555 while resistance builds to the upside. A break below yesterday’s low (6619) could see a pull back towards 6555 while resistance may come at 6662.
Germany’s DAX is trading below its major MAs this morning as it follows the rest of Europe lower this morning. The 20 day MA has cross below the 50 day MA while the RSI has moved into oversold territory. Support may come around 9418 with resistance likely around 9560.
The US Dow Jones was dragged lower by the other US exchanges yesterday as tech stocks weighed on the markets. The Dow fell below its major MAs yesterday with a 1.5% decline catching many investors off guard. The 20 day MA fell below the 50, 100 and 200 day MAs, while the 100 day MA broke below the 200 day MA. The RSI has started to turn lower heading back towards the oversold level. Support may come at 16922 with resistance at 17057.
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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.
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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
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