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Last week we highlighted a bullish flag pole formation on the Dow Jones, which yesterday came fully to fruition after the Dow touched 17700, registering yet another record high. However, the markets pulled back later in the session as oil prices weighed heavily on energy firms. This morning saw the markets on the back foot in early trading, however, they have since picked up and are now broadly positive. We have a raft of GDP data due for release from across the Eurozone this morning with the Germans already releasing a better than expected number. Traders will still be monitoring tensions in Ukraine throughout the day and will consider whether they will hold positions over the weekend or reduce their exposure.
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The UK’s UK 100 has broken below its 4 week rising trend line this morning, although the 50 day moving average is likely to act as support. A break below the 50 day moving average could see the UK 100 testing 6600 and then 6550. The RSI has also turned lower and is now in decline.
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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Germany’s DAX is beginning to trade in a sideways channel after it broke below its 3 week rising trend line. The 100 day moving average has broken below the 200 day moving average both of which could now act as resistance to the upside. Support, however, may come in around 9175.
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
US Dow Jones registered yet another all-time high yesterday after breaking 17700, however the Dow gave up some of those gains later in the session, falling below its 4 week rising trend line. The 50 day moving average is still providing support, although resistance may now come along the rising trend line. A break below the 50 day moving average could see a decline towards 17500, the RSI has, after turning lower yesterday is continuing to decline.
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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