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Index Focus - 11 August 2017

Equities look set to end this week on a downer, as geopolitical uncertainty regarding North Korea shakes volatility from its 2017 slumber. This has taken equities from recent highs, dragging metals and oil with them, the preference for safe havens sending Gold & Silver to 2-month highs and reviving interest in bonds.

The UK UK 100  underperforms, most impacted by losses among risk assets including Oil Majors, Miners, Financials/Banks, but also Pharma, Telecoms and select defensives such as Tobacco. Gains for consumer staples (ULVR +RB) offer little help. Germany’s DAX is also being weighed down by risk assets (Financials, industry) but outperforms the UK Index thanks to gains for Healthcare and Consumer.

The UK Index 100 has broken below 7350 to flirting with 7300 2-month lows. The DAX 30 has bounced from 11935, but has yet to break back above 12000. Dow Jones Futures are testing support just above 21800. Gold is edging back from overnight highs. Bearish double top back to $1279?

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Where next?
  1. Will the index fall towards lows of 7,185? or;
  2. Will the index rise towards highs of 7,600

The UK Index 100 has broken below 7350 to flirting with 7300 2-month lows. RSI oversold.

  • Watch levels: Bullish 7320, Bearish 7290

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 7300, 7275, 7250, 7225, 7200, 7185
  • Potential resistance: 7315, 7335, 7355, 7380, 7400

Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.

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Where next?
  1. Will the index fall towards lows of 11,845? or;
  2. Will the index rise towards highs of 12,945?

The DAX 30 has bounced from 11935, but has yet to break back above 12000

  • Watch levels: Bullish 12000, Bearish 11950

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 11960, 11935, 11925, 11900, 11865, 11845
  • Potential resistance: 12000, 12050, 12100, 12150, 12200

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

Where next?
  1. Will the index fall towards lows of 21,300? or;
  2. Will the index rise towards highs of 21,180?

Dow Jones Futures are testing support just above 21800. RSI now oversold

  • Watch levels: Bullish 21,850; Bearish 21,820

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 21825, 21815, 21700
  • Potential resistance: 21850, 21875, 21900, 21950, 21970

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

Where next?
  1. Will Gold fall towards lows of $1,125? or;
  2. Will Gold rise towards highs of $1,340?

Gold is edging back from overnight highs. Bearish double top? back to $1279?

  • Watch levels: Bullish $1289, Bearish $1286.5

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 1287, 1284, 1282, 1279, 1278, 1275
  • Potential resistance: 1288, 1289, 1295, 1300, 1310, 1320

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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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.

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