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Equity indices are mixed this morning with the UK 100 and Dow Jones futures both mildly green but Germany’s DAX comfortably in the red. Miners and Energy names are helping the UK and US bourses after Chinese imports data offered a beacon of hope about economic transition and with oil trading above $50. A US dollar continuing to slip (summer rate hike off the table) also remains a help for commodities. Resulting Euro strength, however, is proving a reliable headwind to German exporters, while financials in general suffer from delayed rate rise expectations. Utilities gaining after the ECB picked the sector for first foray into corporate bond buying as part of expanded stimulus efforts.
The UK 100 has found support at 6260 which could help usher it back to yesterday’s 6320 highs for another attempt at a breakout for a bullish inverse H&S pattern. The DAX30 continues to edge back from yesterday’s 10320 highs, weighed by multi-month falling highs resistance. Wall Street/Dow Jones futures have bounced from 17920 which bodes well for a bullish head & shoulders reversal to April highs and beyond. Gold is in the process of a bullish flag pattern back towards $1280 thanks to a weaker US dollar.
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The UK 100 has found support at 6260 which could help usher it back to yesterday’s 6325 highs for another attempt at a breakout for the 250pt bullish inverse H&S pattern we highlighted yesterday. Beware any test of 6250.
Watch levels: Bullish 6305, Bearish 6250
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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The DAX continues to edge back from yesterday’s 10320 highs, weighed by multi-month falling highs resistance. In a 1-day down channel, watch 10210 for 2-day rising support. Any breakout at 10275 could result in a bullish flag to end-May highs.
Watch levels: Bullish 10275, Bearish 10200
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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Wall Street/Dow Jones futures have bounced from 17920 which bodes well for resumption of the a bullish head & shoulders reversal to April highs and beyond.
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’s is in the process of a bullish flag pattern back towards $1280 thanks to a weaker US dollar. However, beware falling highs resistance dating from early May.
Watch levels: Bullish $1255, Bearish $1245
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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