This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.
Equity markets are still positive this morning, but posting more muted gains amid a well-earned breather from impressive post-Brexit vote rallies. We note a mix of names helping the UK index in terms of points contribution, with Miners benefiting from a weak USD giving commodities a boost and that Copper breakout attracting attention. Oil at $50/barrel is also helping keep the Oil majors near the top. However, defensives are rather split with some still bid (drink, tobacco) but others (big pharma) looking like they may have served their safe haven and yield-hunting purpose amid the Brexit uncertainty and resulting political chaos. Banks suffering on read across from US Fed Bank stress test results even if not directly involved. Housebuilders/property, banks and retail footing the index again while Commodities top the board on some rotation back to into risk.
The UK 100 has bounced off rising support to deliver a test of 6400, exceeding yesterday’s highs which saw Brexit declines fully retraced.. The DAX30 is officially sideways 9500-9700, but trading the upper half of its 24hr range. Wall Street/Dow Jones futures are trying to keep the steep V-shaped post-Brexit recovery alive ‘n’ kicking. Can 17800 be conquered? Gold is sideways around $1315 amid a tussle between recovery risk appetite and uncertainty-driven safehaven seeking.
Click below to expand sections
UK 100 has bounced off rising support to deliver a test of 6400, exceeding yesterday’s highs which saw Brexit declines fully retraced. Breakout or bearish double top at 6400?
Watch levels: Bullish 6410, Bearish 6350
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
The DAX30 is officially sideways 9500-9700, but trading the upper half of its 24hr range. Will we get a breakout?
Watch levels: Bullish 9665, Bearish 9565
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
Wall Street/Dow Jones futures are trying higher attempting to keep the steep post-Brexit vote recovery ascent alive ‘n’ kicking. Can it manage a breakout above 17800 to open the door for 18000 and 2016 highs?
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 is sideways around $1315 amid a tussle between recovery risk appetite and uncertainty-driven safehaven seeking. Will intersecting support drive it higher? Will falling highs usher it lower?
Watch levels: Bullish $1321, Bearish $1312
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
This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.
Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance. Prepared by Michael van Dulken, Head of Research