This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.
Equity markets struggling for traction this morning, but losses are minimal as traders usher the major bourses sideways ahead of central bank from the Fed and BoJ. Risk appetite dented by a disappointing brace of results from Apple and Twitter overnight and, strangely, failing to garner any support from oil prices trading fresh 2016 recovery highs. Commodities prices mixed with precious metals benefiting from dialled down market sentiment and industrial metals digesting a sharp pull-back/retrace by iron ore which had perhaps rallied too far on Chinese fuelled speculation. USD bounce helping DAX (weaker EUR for German exporters) but may have run its course. Will Fed deliver a dovish update that weakens the Dollar? Will more BoJ policy easing slam the Yen and send the Dollar higher? A big night in store for markets.
UK 100 sideways 6250-6300 awaiting a catalyst to break it out of this week’s tight range. DAX30 found support just above 10200 to stem the downtrend from last week. Wall Street/Dow futures sideways at 17975 into apex of a narrowing pattern ahead of Fed update. Gold broken above $1242 as risk appetite wanes.
Click below to expand sections
UK 100 back from is 6300 highs of the week, still in a 6250-6300 sideways channel awaiting a catalyst for a break. Could the Fed or BoJ be that catalyst overnight? Will the bullish April uptrend hold?
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
The DAX is still in a downtrend from last week’s highs but has found just north of 10200 to stem the declines. Can it overcome the trendline of bearish falling highs?
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
The Dow Jones is trending sideways into the apex of a narrowing pattern ahead of this evening’s Fed monetary policy update. Will the eventual breakout be north or south? Mid-April uptrend intact.
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 made a break above Monday’s highs which makes sense in terms of risk appetite being dialed down ahead of those major central bank updates. Can the Fed deliver a dovish enough update to weaken the USD and boost Gold’s rebound? Or will BoJ policy easing slam the Yen and send the USD higher? Which will win out?
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
This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.
Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance. Prepared by Michael van Dulken, Head of Research