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Equity markets building on their impressive turnarounds, delivering further strong gains and retracing much of last week’s losses. Worries related to the weekend’s events and their after-effects, a slowing China, commodity price weakness and a looming US rate hike are proving anything but the hindrance one might expect. Maybe the prospect of more stimulus from the BoJ and ECB, another rate cut from the RBA and UK rates on the floor until 2017 is enough to keep the bulls happy by keeping the cheap money ball up in the air. Game on.
UK Index in the process of testing key 6250 level. Dax found a hurdle in November falling highs at 10900. Wall St trying to break above 17500. Gold given up all its gains to trade back at recent lows.
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UK 100 trying to extend its rebound beyond that key 6250 level. We’ve had a test, but nothing meaningful. Decisive breakout >6260 required and 6250 must revert to support. Without a breakout, watch for a fallback.
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 rally has been slowed up by 1-week falling highs. Even if we do get a breakout, upside could be capped at 11000 due to trend-line of falling highs dating back to June.
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 taking a breather around recent highs 17500. While the break above the extended channel trend line is a positive, a move above 17500 is required to maintain the rally.
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 retraced all of yesterday’s gains. Blame that strong USD. Another leg down could mean a revisit of $1044 – resistance-turned-support dating back to 2008.
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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