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Equity markets back in the red after Greece delivered a defiant No to bailout proposals. However, markets are well off their worst overnight levels trying to fill gaps, suggesting hope that this doesn’t immediately equate to what could be a dangerous Grexit. Uncertainty still rife whether Greece uses referendum result to fight harder at the negotiating table, drawing things out for even longer, or whether PM Tsipras adopts a more conciliatory tone now that outspoken Finance Minister and game theorist Varoufakis has resigned and Greek banks are very much on the ropes, almost out for the count.
UK Index back above 6500 after probing almost 6-month lows, DAX testing this morning’s highs of 10950 and Wall St just about holding 17600 but all still in clear near-term downtrends. Gold bounced on the Greek news but has since given up all gains, refusing to play as a safehaven should in times of uncertainty.
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UK 100 ventured lower but held up above 6400 which keeps alive the rising trend from last October. Back above 6500 is a good sign, and this morning’s highs pretty much closed the opening gap down, however, resistance around 6660 leads us to ask whether we’ve seen the best of the index for today.
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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 also tried lower but has since recovered some ground. Support kicked in at just above 200-day moving average. Still in falling channel; sitting around the mid-point. Another 100pts of gains required to close this morning’s gap down.
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 also bounced from lows but turned back before closing gap. Back above prior lows could help with support and recovery, however, downtrend from mid-May remains unabated.
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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Gold bounced to $1175, but since fallen back below Friday’s lows $1165. EUR weakness and USD strength hurting. Downtrend holding, even accelerating. All eyes on recent lows $1157. A breach could see a quick revisit of March lows $1142.
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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