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Equity markets in positive territory, with the DAX outperforming thanks to early dovish ECB talk (could lower negative deposit rate yet further) suggesting more help for a flagging Eurozone economy. Peer bourses off their lows of yesterday but still in correction mode from recent highs. More overnight data confirmed China slowing, adding to global growth woes and making life difficult for investors trying to price in the impact of a Fed rate rise next month with the exact opposite from peers PBOC, ECB and BOJ who all need to boost stimulus to kick start growth/inflation in their respective regions.
UK 100 breaking out from 1-week downtrend. DAX bounced off 2015 intersecting support at 10700. Wall St bounce off 17650 could confirm break above May falling highs. Gold still languishing around $1090 after its drop to 3-month lows.
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UK 100 breaking out from defined falling channel which could lead to a recovery to 6400 or better. Expect 6250 to serve as support for any pullback.
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 made a solid bounce off 2015 intersecting trendline at 10700 which could help deliver a revisit to 11000. For any goals further north (such as April falling highs 11300) note the 200-day MA at 11100 needs to to be overcome.
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
US Dow Jones futures still in an 6-week uptrend, but taking a breather with a 1-week downtrend. The overnight bounce off 17650 suggests the recent breakout above May falling highs is genuine and holding above the 200-day MA is a good sign.
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 holding around $1090, up off recent 3-month lows. RSI recovery looks bullish (positive divergence with price), offering potential for rebound, but strong USD remains major hindrance. Sideways for the foreseeable.
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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