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Equity markets in the red this morning weighed by negative overnight reaction to results from Apple and Microsoft. Both may have beaten revenue and profit expectations but disappointed in terms of core product demand and the all-important outlook – a blow for the Q2 earnings season.
Some trepidation also ahead of Greece’s second round of reforms approval in parliament, with PM Tsipras needing all the help he can get from opposition parties to counter the revolt in his own ranks and avoid autumn snap elections. The commodities rout continues unabated despite the USD pulling back from highs. Supply gluts and questionable global demand dominating investor thoughts.
UK 100 pullback found support at 6700 while DAX30 rebounded from 11500. Dow Jones declines found relief at 17850 thanks to intersecting trendline from mid-March. Gold back below $1100 heading towards recent 5yr lows $1084.
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UK 100 found support at 6700 after struggling with and declining from 6800. pull back before rally resumption? Or start of bigger correction? Trading back below 6750 200-day MA.
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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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Germany’s DAX fallen back to test 11500 which has proved supportive. Breakout from 3-month falling channel still alive, meaning this could be just a pullback before part two of the rally back to all-time highs.
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 fallen back to find support at 17850 via intersecting trendline dating back to mid-March. Enough of a pullback to allow for bounce back to abandoned 18100 highs. Note narrowing pattern of highs and lows.
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 still in downtrend, hindered by hawkish Fed talk keeping the USD strong, a lack of income from the yellow metal, a commodities rout, lack of investor fear and an outright failure to act as a safehaven all this year.
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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