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Major Support & Resistance (pivot points – explained):
Pivot: 6623; Support: 6583, 6540, 6499; Resistance: 6666, 6707, 6750
UK Index started testing its recent rising and horizontal support around 6600 yesterday, and has continued to do so this morning. Could the sideways move have run its course and lost momentum, opening us up to a correction? It would still make sense to do so, even if we had hoped that the sideways move would suffice, with gains of 11% from end-June still to be digested. Or will yesterday’s lows prove supportive?
Better US macro data rekindled fears of QE3 tapering, but we reiterate the volatility of data (good one month, bad the next), the potential (and likelihood) for the Fed‘s timetable to be amended given host of variables being monitored, tapering as yet un-quantified ((scared of just $80bn/month) and rates still staying low for a long time. China concerns also back to the fore after Caterpillar disappointed, and on the whole earnings season showing an interesting mix of beats versus misses.
As we said yesterday, all eyes on decisive breaks >6660 or <6580 to cancel current breather. UK GDP to be the driver?
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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