This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.
Equities are marginally higher this morning, accepting more hawkish comments from Fed Chair Yellen whilst building on hopes of both calmer geopolitics and progress from Trump on the US tax reform front this evening. Despite the stronger USD, it’s a risk-on theme for the UK Index (commodities holding up surprisingly well), embracing a weaker GBP. The DAX has also welcomed the continued EUR pullback from recent highs.
The UK UK 100 is higher thanks to contributions from the Banks (hawkish Fed) and Miners (metals prices firm), outweighing the drag from Oil majors (oil prices off highs) and defensives such as AZN and NG amid today’s investor preference for risk assets. The German DAX is being led higher by strong performances from Siemens (rail M&A), financials (hawkish Fed) and industry (weaker EUR), overpowering losses for Vonovia (tighter monetary policy negative for property) and Beiersdorf (profit-taking, pref for peer Henkel).
The UK Index 100 remains hampered by recent highs and lows, 7270-7320. The DAX 30 continues to make upside tests amid a bullish pattern to 12900. Dow Jones Futures have extended their bounce from rising support to remain above 22300. Gold is making a bearish test of $1290 support due to the stronger USD and risk on sentiment.
Click below to expand sections for more detailed analysis
The UK Index 100 remains hampered by recent highs and lows, 7270-7320.
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
The DAX 30 continues to make upside tests amid a bullish pattern to 12900
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
Dow Jones Futures have extended their bounce from rising support to remain above 22300. Multiple support levels below. RSI rising lows.
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 is making a bearish test of $1290 support due to the stronger USD and risk on sentiment.
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
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.
Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance. Prepared by Michael van Dulken, Head of Research