This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.
Major Support & Resistance (pivot points – explained):
Pivot Point: 6406; Support 1, 2 & 3: 6464, 6402, 6371; Resistance 1, 2 & 3: 6558, 6590, 6652
Another weekend and another disappointment from US politicians as they force markets to position themselves for a meeting with the debt ceiling. While this is a worrying prospect, we are not of the opinion that debt ceiling day equates to default day. There is likely room for some more juggling of payments (the Treasury has been doing so for a while now to ensure debt interest is prioritized
The upside from this is that it buys the US and markets a little more time. The downside is that it gives markets more time to worry and politicians more time to waste. Elsewhere, Chinese data also a concerns with Exports plunging (normalization of over-egged September, or drop in international growth?) and domestic growth and inflation potentially needing cooling.
While markets got excited on Friday about the prospect of a weekend that could see US politicians resume proper negotiations, we’re back where we were (around 6500), below the ceiling that has been in place for most of October and around which we have oscillated since early July. Our 1-week growth shows rising lows. Our 3-month graph shows a breakout which is revisiting a significant hurdle.
Can they do it? Yes they can. Will they do it? Yes they will. When will they do it?………
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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