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Equity markets are languishing in the green this morning following last Friday’s sell off. The Dax has furthest to travel to get back to its highs and needs all the help it can get from its constituent stocks – nearly all of which are positive this morning in anticipation of the ECB’s QE report at lunchtime, and following a successful economic stimulus curve ball from China taking the emphasis off big fat Greek problems to reinvigorate investor sentiment. The China news has in fact buoyed all three of our index players and stabilised both oil and gold which are both presumed to see a rise in demand from the world’s #2 economy.
UK 100 is still in a 2015 uptrend despite Friday’s hiccup, with the index not leaving its 2-month rising channel – even managing to remain in the upper half. Currently testing potential resistance around 7055.
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Possible support
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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 is pausing for a few moments around 11800 as part of its recovery. With all the DAX’s constituents doing what they can for the index, further upside today remains a possibility. Make that a distinct probability.
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Possible support
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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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The US Dow Jones is, in opposition to the UK Index , back in a downwards trading channel and back below 18000 out of the weekend. The index may be picking up support at April rising lows, however, with potential for this to provide the impetus it needs to power through resistance to the upside.
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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Gold is stable above $1200 this morning with the price supported by a weakening US Dollar Basket. The yellow metal is heading into a bullish ascending triangle pattern – support at rising lows soon to intersect with horizontal resistance indicating a lack of evidence that a change in trend is imminent. Potential for a break above $1210 this week, but since the longer term trend is sideways it looks likely to remain that way.
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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