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Equities are firmly in the red, reacting to the trio of mixed guidance from the Fed (short term unchanged, long-term steeper hiking), the threat of a global trade war (Trump to announce tariffs on Chinese imports) and disappointing European PMIs. The Bank of England has also struck a slightly more hawkish tone (2 voted for a hike), adding to GBP strength resulting from USD weakness, to remain a UK Index hindrance. However, it’s Germany’s DAX which underperforms, albeit only marginally, and despite EUR off highs.
The UK 100 is under water thanks to HSBC/BARC(less hawkish Fed near-term), BATS (breakdown, ex-div), VOD (breakdown), RIO/GLEN/BLT (stronger GBP), GSK (RB pulled out of race for Pfizer assets) and BP (oil off highs, stronger GBP), with the only real support from RB (pulled out of M&A).
The UK Index 100 has breached twin support at 7000. The DAX 30 is edging back towards last week’s lows of 12120. Dow Jones Futures rolled over at 24800 to hold a falling channel. Gold’s breakout (on USD weakness) has been halted at $1336.
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The UK Index 100 has breached twin support at 7000. Bearish flag to 6700?
Watch levels: Bullish 6985, Bearish 6970
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 30 is edging back towards last week’s lows of 12120
Watch levels: Bullish 12,210; Bearish 12,150
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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Dow Jones Futures has reversed yesterday’s spike higher, remaining in a falling channel.
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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Gold breakout (on USD weakness) has been halted at $1336. Bullish flag pattern to north of $1340?
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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