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Major Support & Resistance (pivot points – explained):
Pivot: 6611; Support: 6562, 6504, 6454; Resistance: 6670, 6719, 6778
A break to the upside yesterday, took us from a very narrow range back into the slightly less narrow summer range, but the power of previous levels was demonstrated with July highs proving too much. Nonetheless, the venture higher demonstrates an underlying bullishness which reinforces our view that the summer is serving as a sideways consolidation before the uptrend returns.
Data still proving confounding, with China PMI numbers at odds and European PMIs so far mixed, US GDP Q2 beating expectations but revisions making things messy, and the Fed giving a nod to both mixed growth prints of late and low inflation, leaving policy and tapering plans unchanged but likely still just reducing expectations on any scaling back QE3 in September. Fed still managing market expectations (‘will taper if data keeps improving’… but watching lots so can change our mind) to avoid too much market exuberance.
Still watching for a break of 6660, to rekindle uptrend. Support likely around 6600 round number then 6550 and 6500. The power of round numbers. The Fed has spoken, now over to the BoE and ECB and the rest of the PMIs.
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
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
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
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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