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Equities have made a mixed start to the new week. This despite a slightly stronger USD, as US Treasury yields continue to climb, putting welcome pressure on both GBP and EUR. However, it is the former which is weakest, helping the UK UK Index to small gains amid fresh Brexit uncertainty. UK listed miners and Oil welcome the weak GBP, metals rebound and high oil price, despite USD finding its feet. Otherwise, major drivers lacking in the wake of a busy Davos as investors gear up for this week’s Fed update, Trump’s first State of the Union, myriad quarterly results (UK, US), a US jobs report and UK PM May’s China trade mission.
The UK Index is up thanks to appetite for risk favouring the likes of RDSB/BP (high oil price, weaker GBP), RIO/GLEN/BLT/AAL (metals rebound), PRU (higher bond yields), RR (defence sector rebound) and CCL (weaker GBP), contributing more than the drag from losses by defensives including BATS/DGE/ULVR.
The UK Index 100 has bounced off 7665. The DAX 30 is back above 13300. Dow Jones Futures have bounced off 26545. Gold has pulled back close to Friday’s $1344 bounce.
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The UK Index 100 has bounced off 7665 but remains in a downtrend.
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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The DAX 30 has is back above 13300, but remains sideways
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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Dow Jones Futures has bounced off 26545 to confirm resistance turned support following the accelerated breakout from its rising channel.
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 has pulled back close to Friday’s $1344 bounce.
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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