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Equities have found their mojo thanks to Chinese President Xi reiterating talk of reform and a more open economy and, rather than fan the flames of a potential trade war, promising to lower import tariffs. This has put investors at ease, suggesting this US-China trade spat may be nothing more than an elaborate negotiating charade of ego-boosting and grandstanding designed to appeal to protectionists and keep the international media and financial markets on their toes. The UK Index underperforms both the DAX and Dow due to GBP strength vs EUR and USD.
UK 100 higher thanks to Miners (metals higher on USD weakness and China optimism), Oil majors (reduced trade spat fears, Syria intervention?) and AZN/GSK/VOD (extending breakouts), with the only meaningful hindrance from ULVR/NG (profit taking, risk appetite bad for defensives) and SHP (profit taking after M&A jump).
The UK Index 100’s rebound has been checked by twin resistance at 7255. The DAX 30 has broken out to test 12400. Dow Jones Futures have paused their rebound at 24300. Gold is struggling to get above $1335.
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The UK Index 100’s rebound has been checked by twin resistance at 7255. Back to the channel floor?
Watch levels: Bullish 7255, Bearish 7210
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 broken out to test 12400. Can it get to 12500/600?
Watch levels: Bullish 12,420; Bearish 12350
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 have paused their rebound at 24300. Will it break North or South?
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 is struggling to get above $1335, due to the combination of USD strength and lack of panic/safehaven demand.
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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