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Equities have found renewed bullish gusto this morning as investors contemplate upcoming central bank action. But renewed talk of a September Fed rate hike is a little at odds with recent USD strengthening and peers looking to turn up the stimulus dial. US corporate results season tends to prove a good driver each and every quarter thanks to suspiciously convenient low-balling of guidance, and last night’s Microsoft scorecard was no exception, helping boost sentiment overnight. UK jobs data at odds with IMF growth cuts is helping keep the UK Index around recent highs even if the commodity space is pressured by another sub-par production report (blame Anglo and BHP this time) and USD strength hindering raw materials prices. Remember, Draghi’s ECB is the next central bank we here from. Tomorrow.
The UK 100 is still in its July recovery uptrend, with an apparent appetite for testing last week’s 6744 11-month highs. The DAX30 has rebounded to test 10100 and the trend of 6-month falling highs resistance. Dow Jones futures have delivered a breakout to fresh all-time highs, keeping the end-June uptrend very much alive and well. Gold is doing its best to hold above $1325 but it may just be pausing before another leg down towards $1300, especially if equities maintain their northerly course, reducing demand for the safehaven.
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The UK 100 is still in its July recovery uptrend, with an apparent appetite for testing last week’s 6744 11-month highs. That pair of bullish patterns (flag, inverse H&S bottom reversal) are still in play. Technically not yet overbought on RSI.
Watch levels: Bullish 6750, Bearish 6695
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 DAX30 has rebounded to test 10100 and July highs. Can it finally break through via a July bullish flag? Or will it retrace?
Watch levels: Bullish 10145, Bearish 10090
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 delivered a breakout to fresh all-time highs, keeping the end-June uptrend very much alive and well. RSI rising lows bodes well for the index along with the recent consolidation pause for breath.
Watch levels: Bullish 18645, Bearish 18615
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 doing its best to hold above $1325 but it may just be pausing before another leg down (bearish pennant?) towards $1300, especially if equities maintain their northerly course, reducing demand for the safehaven.
Watch levels: Bullish $1329, Bearish $1324
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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