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Major Support & Resistance (pivot points – explained):
Pivot Point: 6664; Support 1, 2 & 3: 6620, 6568, 6524; Resistance 1, 2 & 3: 6716, 6760, 6812
The pre-release of Fed Chair elect Janet Yellen’s testimony text showing affirmation of her dovish bias to the Senate banking committee have helped equities overnight off their worst level. As have Japanese GDP growth and the prospect of continued stimulus from the BoJ.
After breaking down below 6700 yesterday, however, the news/signals have failed to help the UK flagship index recover to that level which now coincides with falling resistance from last week. With a falling trendline at 6740 too, hurdles are amassing for any meaningful recovery. Watch levels 6610 and 6700.
As we said yesterday, commentary by Fed officials continues to confound, and after dovish suggestions from Yellen and Bernanke overnight, be aware that we have Plosser speaking at 2pm, just before Yellen testifies. Plosser’s last words on QE3 were that the Fed missed an opportunity to taper in September. As a group, they are still managing expectations to counter stimulus complacency and the chance of bubbles. That’s not to take anything away from Yellen’s Q&A which is sure to be the event of the day.
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
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
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
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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