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Index Focus - 9 February 2017

Major equity markets are hugging break-even this morning as a dollar pullback weighs on the UK Index and DAX via unwelcome reciprocal GBP and EUR strength and investors pause to consider the outlook from a political, economic and central bank standpoint. While equities hold up around recent highs, bonds and safe havens are performing well too.

On the UK’s UK Index , the Mining sector represents the biggest drag, despite Oil and metals prices on the front foot, coupled with a results miss from Smith & Nephew offsetting gains for Oil, Healthcare, Financials, VOD and NG. Germany’s DAX is outperforming as Consumer Health and Utilities prevail in a tug of war with Financials, Tech, Autos and Industrials.

The UK 100  is hovering below 7200, holding yesterday’s bounce. The DAX 30 is back at 11575 after twin resistance at 11630. Dow Jones Futures have regained 20050 thanks to rising Feb support. Gold at $1242 is pushing on with its bullish flag towards $1280.

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Where next?
  1. Will the index fall towards lows of 7145? or;
  2. Will the index rise above highs of 7228?

The UK 100 is hovering below 7200, holding yesterday’s bounce. Pause before another leg higher?

Watch levels: Bullish 7200, Bearish 7180

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 7190, 7185, 7175, 7163, 7145
  • Potential resistance: 7195, 7200, 7210, 7225, 7228

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

Where next?
  1. Will the index fall towards lows of 11485? or;
  2. Will the index rise above highs of 11885?

The DAX 30 is back at 11575 after twin resistance at 11630

Watch levels: Bullish 11590, Bearish 11535

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 11550, 11540, 11530, 11500, 11480, 11460
  • Potential resistance: 11580, 11600, 11630, 11640, 11660, 11680, 11695

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

Where next?
  1. Will the index fall towards lows of 19,785? or;
  2. Will the index rise towards highs of 20,160?

Dow Jones Futures have regained 20050 thanks to rising Feb support and broken beyond 2-day falling highs to open the door for a revisit of 2160 record highs.

Watch levels: Bullish 20,065, Bearish 20,015

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 20045, 20035, 20030, 20015, 20005, 19965, 19922,
  • Potential resistance: 20060, 20070, 20100, 20120, 20130, 20150, 20160, -

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

Where next?
  1. Will Gold fall towards lows of $1,123? or;
  2. Will Gold rise above highs of $1,373?

Gold at $1242 is pushing on with its bullish flag towards $1280.

Watch levels: Bullish $1245, Bearish $1239

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 1242, 1240, 1239, 1236, 1230, 1228, 1226, 1222
  • Potential resistance: 1244, 1245, 1260, 1265, 1280

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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This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.

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