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Equities positive this morning, but trimmed initially stronger gains, as market participants adopt the now typical “wait and see” stance on the side-lines ahead of the US Federal Reserve FOMC’s latest update on monetary policy. What clues, if any, will it deliver on the timing of its post-crisis interest rate lift-off? Sept, Dec or not until next year? The USD suggests later rather than sooner. But never say never, when it comes to central banks. And always expect the unexpected.
While China remains under pressure (GDP growth, equities), Greek bailout optimism is rising, Q2 results season is generally solid on both sides of the Atlantic, M&A activity has resumed with gusto, commodities have perked up a little and major bourses have bounced from recent lows.
UK 100 breakout >6600 turned back but found support at 6580. DAX30 sideways around 11200. Dow Jones bounce from 17,400 continues with support at 17600. Gold hovering just below $1100.
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UK 100 breakout at 6590 lost momentum >6600 but retreat has seen bounce off now supportive falling trend-line at 6575 which bodes well for a second upside attempt. Rising lows from Monday.
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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 still in uptrend from Monday lows, but yet to make a test of falling highs from the prior Monday at 11300.
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 recovery from 17400 continues with a pull-back already finding support at 17600. As mention yesterday, beware 200-day MA as a hurdle at 17823.
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’s now trading sideways just below $1100. Rising lows from Friday helpful, but falling highs from last Tuesday a hindrance. A break above $1105 needed to offer chance of bullish reverse Head & Shoulders pattern completing at June falling highs $1130.
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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