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Equity markets are higher again this morning stemming from continued digestion of the ECB’s QE announcement yesterday which pleased markets and overnight China HSBC PMI Manufacturing registering a second month of contraction adding to calls for more stimulus. US markets closed with sizeable gains after the ECB announcement offset any gloom from stagnant jobless claims, a plunge by the Kansas City Fed and a huge rise in US Oil inventories.
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The UK’s UK 100 ‘s traded at a fresh 4-month high after completion of the bullish flag formation highlighted yesterday. We suggested in yesterday’s Index Focus a possible run towards 6800 which it duly did, before meeting resistance at 6845. The RSI is still, albeit just, in overbought territory.
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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Germany’s DAX eventually managed to sustain a break of 10300 to register a new all-time high of 10546 overnight. The 50 day moving average may act as support around 10500 while the upside still has potential following yesterday’s announcement from the ECB. The RSI has, however, drop from overbought and is now heading lower.
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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US Dow Jones continues to make inroads back into the losses incurred earlier this month as it broke above 17800 to a 2 week high. The 50 day moving average could provide support at 17800 while the RSI has risen, moving back into overbought territory.
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
Spot Gold is lower this morning still trading below 1300. The 200 day moving average may act as support on the downside while resistance may come in around 1299. The RSI is rising after a bounce from overbought.
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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