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Equities have moved back positive after a muted start. The turnaround may stem from drivers including solid PMI Manufacturing and Services data from the Eurozone (read Germany) coupled with a gradual easing/acceptance of last week’s concerns about a June/July US rate hike being on the table for the Fed and mega M&A news with Bayer bidding a whopping $62bn for Monsanto. A receding in geopolitical Brexit worries – despite warnings aplenty – is also helping as we move into the last four furlongs before the June 23 vote on UK membership of the European Union. Commodities still hampered by dollar strength inspired by last week’s April Fed minutes but Oil is off its lows and still within touching distance of that all-important $50/barrel mark.
The UK 100 sits in a megaphone pattern which the bulls hope yields a breakout to continue the prior uptrend and complete the last section of the ‘in-progress’ bullish inverse head & shoulders at 6185. The DAX30 sits midway between narrowing 10050 falling highs and 9800 rising lows. Wall Street/Dow Jones futures found support at 17460 this morning but remains hindered by 10-May falling highs at 17550. Gold still holding 3-month rising support at $1250 with the strong USD still a hindrance, stifling any safe haven seeking demand.
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A UK 100 sits in a megaphone pattern which the bulls hope yields a breakout to continue the prior uptrend and complete the in-progress bullish inverse head & shoudlers at 6185 before moving on to retest 6220 May channel highs. The bears hope the megaphone signals a top before a fallback.
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 sits midway between 10050 falling highs and 9800 rising lows, yet to break the April downtrend and still sideways for May. A revisit of 10,000 could turn the tide more bullish.
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
Dow Jones futures found support at 17460 this morning, but remains hindered by 10-May falling highs at 17550. Breakout to reignite bullishnes, or breakdown to resume bearishness?
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 still holding 3-month rising support at $1250 with the strong USD still a hindrance, stifling any safe haven seeking demand.
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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