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Index Focus - 28 April 2017

Investors are uncertain into the long weekend, understandably so in our opinion, as early-week bullishness comes off the boil. Trump has again failed to convince us that he can get Congress onside with his pro-growth policies. Results season has been good, but geopolitical risk simmers away with a North Korean threat and uncertain French election outcome. Uninspiring macro data prints and what could happen between now and Tuesday also contributes to waning optimism.

The UK Index  is trading 4-day lows with losses for BARC (disappointing results) and GBP strength weighing on big name international defensives (RB, AZN, BATS, DGE), overpowering gains for Miners and Oil majors (Oil price rebound) and UK banks (RBS results). The DAX is break-even with Commerzbank and Deutsche Post fighting off RWE, Vonovia, and Heidelberg Cement.

The UK Index 100 has broken below yesterday’s lows of 7225 now in a 2-day falling channel. The DAX 30 remains in a 12400-12460 falling channel from Tuesday’s record highs. Dow Jones Futures have bounced off rising support at 20940. Gold is back above $1265, holding 6-week rising support.

Click below to expand sections for more detailed analysis

Where next?
  1. Will the index fall towards lows of 7085? or;
  2. Will the index rise towards highs of 7350?

The UK Index 100 has broken below yesterday’s lows of 7225 now in a 2-day falling channel.

Watch levels: Bullish 7255; Bearish 7210

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 7210, 7200, 7170, 7150
  • Potential resistance: 7225, 7240, 7260, 7300

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 12,215? or;
  2. Will the index rise above highs of 12,515?

The DAX 30 remains in a 12400-12460 falling channel from Tuesday’s record highs.

Watch levels: Bullish 12460; Bearish 12440

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 12440, 12420, 12400, 12375, 12220
  • Potential resistance: 12460, 12475, 12485, 12500, 12520, -

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 20,700? or;
  2. Will the index rise towards highs of 21,070?

Dow Jones Futures have bounced off rising support at 20940.

Watch levels: Bullish 20,980; Bearish 20,950

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 20950, 20940, 20900, 20850, 20800
  • Potential resistance: 21000, 21040, 21065

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 $1,240? or;
  2. Will Gold rise towards highs of $1,295?

Gold is back above $1265, holding 6-week rising support.

Watch levels: Bullish $1270; Bearish $1263

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 1265, 1263, 1260, 1255, 1250, 1245, 1240
  • Potential resistance: 1270.5, 1271, 1276, 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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