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Equity markets heavily bloodied this morning after another bad Chinese takeaway. Asian markets gave up more ground overnight following continued PBOC devaluation of the Yuan currency, bolstering jitters about the world’s #2 economy (liquidity crisis/slowing growth/overvalued equities). This followed a weak US close after US Fed minutes suggested some apprehension among FOMC members about rate rises in the face of deflationary pressures in the #1 economy. This as Oil bounces from 12 year lows from persistent supply glut worries. Happy New Year for those with bearish bias.
UK Index back at 5900, close to Dec lows 5865. DAX taken another leg lower to break below 10000. Wall St’s breakdown has continued at pace to test 16500. Gold has risen as far as $1100 thanks to safehaven seeking.
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UK 100 correction from 6300 6-month falling highs continues. Potential support at Dec lows 5865, but also possibility that falling channel takes us back top August lows 5765.
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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 broken below intersecting support at 10000 which opens up the possibility of a retrace towards 2015 lows 9315.
Solid Green line
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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US Dow Jones futures continue to fall back, even accelerating, towards late summer and early Autumn levels of 16000 and 15260 respectively.
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’s breakout has taken it as far as $1100 where it has encountered resistance at historical October support. A pause before another breakout or a retrace due?
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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