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Equities back in the green following yesterday’s risk-off session despite a lack major fresh drivers to explain the positive performance, bar some well-timed bargain hunting, a higher oil price and a rebound in French PMI Manufacturing. Ironically, gains are despite disappointing Chinese Manufacturing PMI data overnight which only adds to pre-existing concerns about the world’s #2 economy, but suggests markets becoming increasingly accustomed to China data confirming a slower pace of economic growth. Or are we simply back to the old ‘bad data is good data’ (meaning more stimulus).
UK Index back above 6000 after plumbing Aug 25 lows below 5900 overnight. DAX revisited 9700 after bouncing from 9450. Wall St. eyeing 16400 after rebounding from 16200. Gold back above $1125 after bearish H&S top as the equity sell off and risk-off mentality sees safehaven interest renewed.
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UK 100 bounced off Aug 25 lows to regain 6000. Can it hold? While August uptrend now lost, potential for sideways channel 5900-6250.
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Possible support
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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 found support at 9450 to retest 9700 this morning. August downtrend seen another leg towards lows. 10000 now looks major resistance. Bearish flag pattern at 9600 looks off the agenda.
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Possible support
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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 futures bounced from 16200 which could allow for rally back to recent highs 16900. However, after abandoning the late-August uptrend it could also be the start of the right hand shoulder of a bearish head & shoulders top pattern (down to 15400?).
Solid Green line
Possible support
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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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Gold found support at $1122 prior highs which keeps uptrend from $1100 alive. Another step up towards $1140 then 1150?
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
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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