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Equities in the red this morning, hindered by yet more disappointing China data as industrial profits for August fell at their fastest pace in the 4 years since records began. This adds to questioning over the health of the slowing nation and how the transition to consumption led growth from infrastructure-led is beginning to bite as well as how it may affect US rate-rise timing. Miners hurting on China news imply less commodity consumption while M&A hopes and fears see SABMiller (SAB) and Vodafone (VOD) as today’s blue-chip bookends in terms of points contribution (+8pts and -7pts, respectively). Catalan pro-independence success last night in a referendum warm-up is also adding to Eurozone political risk.
UK Index holding above 6050 amid uptrend from last-week’s September lows. DAX held back by 9700 falling highs from mid-month. Wall St. back around 16250 rising support from Thursday lows. Gold found support at $1136 keeping it in uptrend from mid-month.
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UK 100 back from Friday’s highs but still in uptrend from last weeks September lows of 5870. A bounce of 6040-50 could deliver another up-leg towards September highs. A break below would surely mean a revisit of 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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Germany’s DAX still fighting against trend of falling highs from two Fridays ago. Bounce of last week has lost momentum.
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 futures still taking a breather amidst the bounce from 16000 lows. Upside potential to falling highs 16700, but any drop back towards 16000 could lead to a full retreat to summer 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.
Click here for help with Support & Resistance Click here for help with technicals
Gold found support at $1136 via trend-line of rising low dating back to mid-month. While a rally back to recent highs is possible, beware the longer term trend-line of resistance which led to last week’s retreat.
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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