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Index Focus – 10 Feb - 10 February 2015

Equity markets are weak this morning with further deflationary worries and missed expectations in China overpowering hopes of added stimulus measures. The standoff between Greece and the Troika continues amid mounting tensions in Ukraine and low commodity prices conspiring to keep market sentiment muted. Gold on the rise again as investors roll back in on increasing global uncertainty.

Where next?
  1. Will the index rise towards 6905? or;
  2. Will the index fall towards 6300?

The UK Index  remains below 6800 and within the lower half of its 2.5-week 67206905 sideways channel. Support remains at 6720. Note converging rising support line from 15-Dec lows.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 6720, 6600, 6300
  • Potential resistance: 6800, 6830, 6905

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 10987? or;
  2. Will the index fall towards lows of 9400?

Germany’s DAX has levelled off slightly following a confirmed breach of its 1-month uptrend. Support at 10600 looking to be holding off a correction for the moment. The index remains in an uptrend from midOctober lows.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 10600, 10205, 10000
  • Potential resistance: 10750, 10800, 10900

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 rise towards highs of 18100? or;
  2. Will the index fall towards lows of 17040?

The US Dow Jones has fallen back to the falling support-turned-resistance line from December highs. We await confirmation of either a continuation towards 18100, or a break below support at 17700 which would  putting it back within its 1-month falling channel (17040-17700).

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 17700, 17600, 17000
  • Potential resistance: 17800, 17950, 18100

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 $1307? or;
  2. Will Gold fall towards lows of $1170?

Gold continues to fall off from Jan-highs of $1307 after breaking below $1250 on last week’s US jobs report (US$ up, risk appetite up). Note support holding around $1230. Still in a downtrend from 22-Jan. Continue to watch for breached levels reverting to resistance on any rallies.

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 1230, 1205, 1170
  • Potential resistance: 1250, 1270, 1285

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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