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Index Focus – 12 Oct - 12 October 2015

Equity indices are mixed this morning despite a positive US close on Friday and gains by Asian bourses overnight but with the recent rebound still in play. The IMF meeting in Peru has seen central banker comments emphasize monetary policy divergence around the world – the Fed and BoE suggesting rate hikes could arrive soon while markets call for more stimulus from the ECB, BoJ, & PBOC in response to poor macro data and risks from a slowing China. Note M&A and IPO talk ramping up (Ferrari, SAB, GLEN).

UK Index  traded back to test 6400 and rising support. DAX continuing to push higher, testing close to 10200. Wall St holding its breakout above 17000. Gold broken above 8-month downtrend, looking set to revisit $1170 highs of late August.

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Where next?
  1. Will the index rally towards 6500? or;
  2. Will the index fall back towards 5870?

UK 100  testing last week’s breakout at 6400. Weakness seen it fall back towards 2-week rising support around 6375. More digestion after 10% rebound?

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 6375, 6350, 6300
  • Potential resistance: 6415, 6435, 6455

Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.

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Where next?
  1. Will the index rise towards 10400? or;
  2. Will the index pull back towards 9400?

Germany’s DAX is relentless in its steep October uptrend with support close by at 10100.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 10100, 10050, 10000
  • Potential resistance: 10190, 10200, 10230

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

Where next?
  1. Will the index rally towards 18100? or;
  2. Will the index fall towards 15250?

US Dow Jones futures holding above 17000 and testing fresh 6-week highs this morning. Similar to Dax with steep uptrend.  Bulls eyeing a return to 17600 mid-Aug pre-sell-off highs.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 17000, 16970, 16900
  • Potential resistance: 17130, 17200, 17280

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

Where next?
  1. Will Gold  rally towards $1300? or;
  2. Will Gold fall towards $1080?

Gold breakout continues towards late-August highs of $1170. Help derived from weaker USD and global risks reviving safehaven appetite, even if central banks seen happy to help.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 1160, 1155, 1150
  • Potential resistance: 1170, 1205, 1230

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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