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Major Equity markets climbing this morning thanks to a late rally in the US (in spite of mixed data) as well as a largely positive session in Asia overnight. A 2-day Chinese holiday is providing welcome regional respite from volatility linked to growth-concerns in the world’s #2 economy and of course its global knock-on.
UK Index broken above bugbear August falling highs to test 6200. DAX done the same at 10100 with the level already reverting to support. Dow following suit at 16400. In the absence of meaningful breaks above late August highs, the trio has yet to convince that last month’s best levels can be revisited.
Gold hindered by strong USD derived from 1) fears of a September Fed rate rise and 2) hopes that ECB President Draghi will usher the single currency EUR lower at today’s policy update (QE for longer) due to inflation expectations being held back by growth uncertainty and depressed commodity prices.
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UK 100 broken above Aug falling highs. Next hurdle is late August highs 6260 above which a full reversal and retracement towards mid-Aug highs is possible. Watch for 6200 proving tough to better.
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 broken above Aug falling highs. The break above this and 10200 is positive so long as the latter proves supportive on any pullback. A breakout >10,400 still likely needed to attract Bulls hopeful of revisiting 11600 highs of early Aug.
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 futures broken above falling highs from mid-Aug. Like DAX and UK Index peers, likely still needs to break above last Aug highs before investors get too excited about the potential for a full retracement of Aug declines.
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’s rebound has faltered on short-term graph but the daily chart shows the uptrend from early Aug still intact. Another test of $1150 needed to give hope that $1160-70 can be revisited.
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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