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Equities markets in the green this morning, still off their worst levels with UK 100 just about hanging in there with late Sept lows acting in support. Concerns about this week’s ‘likely but not set in stone’ Fed rate rise have naturally intensified amid continuing woes for commodities with markets remaining unconvinced that the US is ready for a hike, and worried about a potential u-turn further down the line. What’s worse, the Fed surprising by holding off tomorrow, or the Fed surprising by having made the wrong decision?!
With rate hike uncertainty duly noted, the UK Index is looking towards 6000 while we could be seeing the formation of another bearish flag. DAX in a similarly tentative 3-day uptrend. Wall St is the clear outperformer for the week so far with rising resistance at 17470 presenting a hurdle and Gold has fallen back with the USD Basket finding support just below 97.5
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UK 100 continuing in a 3-day uptrend off late Sept lows around 5875. Short bodied candles suggesting market indecision is rife, which is understandable, but it does raise concerns about a sustained recovery. Another bearish flag pattern in formation?
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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 remains within its 2-week falling channel (while the wider downtrend extends back to late Nov) despite having a good go at a rally this morning. Note that while the hourly RSI is in bullish territory, the 100-day MA is reinforcing the channel ceiling as resistance.
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 currently trading at 200-day MA resistance, while 6-month converging highs and lows are encouraging. Note the daily RSI has not gone oversold since August, leaving more downside on the cards if the 200-day MA isn’t broken.
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 is suffering beneath falling resistance since yesterday, having broken down out if its prior narrowing pattern and seemingly locked in the bottom half of a falling channel towards $1062.
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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