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Global markets have opened considerably higher this morning thanks to US stocks closing sharply higher as markets reacted positively to the latest Fed statement and a recovery in the price of oil from recent lows after US data showed a drop in crude inventories. More negative China property data overnight may have slowed up the overnight rally, but not given it a knock, likely from renewed hopes of China stimulus. Gold still held back by the $1200 level with the Fed statement seeing the USD rally in anticipation of a 2015 rate hike, making the metal more expensive to buy, and disappointing US inflation data showing no need for a hedge.
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The UK’s UK 100 briefly broke above its 200 day moving average this morning before quickly retreating back below. Support could come into play around 6350 with resistance likely at the 200 day moving average at 6421. The 50 day moving average has broken above the 100 day moving average whilst the RSI is declining after touching overbought.
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 testing resistance at its 200 day moving average around 9700 with a break above signalling a potential move to 9800. Support looks likely at 9581 and 9527. The RSI has just fallen out of overbought territory.
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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US Dow Jones broke above prior resistance overnight with further resistance likely at the 200 day moving average at 17500. Support should now come at 17380 and again around the 100 day moving average at 17274. The RSI has broken into overbought territory.
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
Spot Gold is still struggling to break above 1200, a level that has provided resistance on a number of occasions over the last few days. Support may come into play around the 50 day moving average around 1199. The 100 day moving average has cross above the 200 day moving average.
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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