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Index Focus - 26 September 2016

Equities are making a poor start to the week, dented by a nasty cocktail comprising; 1) last week’s dovish central bank inspired rally having run its course; 2) jitters about tonight’s Trump v Clinton debate; 3) waning faith in this week’s Algiers Oil meeting yielding anything whatsoever; 4) German Chancellor Merkel saying no backstop for troubled Deutsche Bank (trading all-time lows), increasing sector contagion risk; 5) City fears of a hard Brexit. Risk assets like Banks, Housebuilders and Miners bearing the brunt of it this morning. Geopolitics appears to dominate.

The UK 100 ‘s 80pt sell-off has found support around 6820. Bounce or breach?  The DAX 30 has dropped back to test the 10450 mid-point of its Jul-Sept range. Dow Jones Futures are testing mid-September rising support at 18150, within a larger narrowing pattern into 18250. Gold has found support at $1333 after turning back from Summer falling highs at  $1345.

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Where next?
  1. Will the index fall towards lows of 6760? or;
  2. Will the index rise towards highs of 6935?

The UK 100 ‘s 80pts sell-off has found support around 6820. Bounce or breach? RSI oversold

Watch levels: Bullish 6810, Bearish 6845

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 6820, 6815, 6800, 6773, 6740, 67000
  • Potential resistance: 6835, 3840, 6850, 3860, 6880, 6890, 6900

Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.

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Where next?
  1. Will the index rise towards highs of 10770? or;
  2. Will the index fall towards lows of 10100?

The DAX 30 has dropped back to test the 10450 mid-point of its Jul-Sept range.

Watch levels: Bullish 10500, Bearish 10430

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 10450, 10400, 10350, 10325 , 10300, 10250
  • Potential resistance: 10485, 10500, 10550, 10600, 10625, 10650, 10700

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

Where next?
  1. Will the index fall towards lows of 17900? or;
  2. Will the index rise towards highs of 18675?

Dow Jones Futures are testing mid-September rising support at 18150, within a larger narrowing pattern into 18250. Will tonight’s debate and Trump dictate the next move?

Watch levels: Bullish 18200, Bearish 18140

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 18155, 18150, 18120, 18100, 18070, 18050, 18000
  • Potential resistance: 18180, 18200, 18230, 18250, 18290, 18300, 18350

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

Where next?
  1. Will Gold rise towards highs of $1375? or;
  2. Will Gold fall towards lows of $1305?

Gold has found support at $1333 after turning back from Summer falling highs at $1345. RSI overbought

Watch levels: Bullish $1338, Bearish $1334.5

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 1335, 1334, 1333, 1330, 1328, 1326, 1324, 1320
  • Potential resistance: 1336, 1337.5, 1340, 1341, 1343.7

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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