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Index Focus - 12 December 2016

Equities have made a poor start to the week despite a non-OPEC Oil production cut pledge that bolsters OPEC’s own key promise, designed to maintain an oil price recovery. A lack of Monte Dei Paschi rescue over the weekend has dampened sentiment somewhat, leaving the bank and troubled peers as an outstanding risk issue. In the run-up to a priced-in US rate hike on Wednesday, the real focus now is on the Fed’s policy normalisation outlook in light of Trump’s election.

The  UK 100  is already testing December rising lows at 6950. Breakdown or bounce? The DAX 30 has broken below rising support at 11275. Support at 11140? Dow Jones Futures are back from Friday’s fresh record highs, testing overnight lows at 19765. Gold at $1155 is extending its month-long falling channel.

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Where next?
  1. Will the index fall towards lows of 6650 or;
  2. Will the index rise towards highs of 7065?

The UK 100 is already testing December rising lows at 6950. Breakdown or bounce?

Watch levels: Bullish 6985, Bearish 6925

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 6940, 6930, 6920, 6900, 6890, 6860, 6840, 6820, 6800
  • Potential resistance: 6960, 6980, 7000, 7030, 7070

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 10360? or;
  2. Will the index rise towards highs of 11370?

The DAX 30 has broken below rising support at 11275. Support at 11140? Note RSI oversold.

Watch levels: Bullish 11210, Bearish 11150

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 11160, 11150, 11100, 11085, 11050, 11000
  • Potential resistance: 11170, 11200, 11220, 11260, 11290, 11300, 11320, 11360

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 19225? or;
  2. Will the index rise towards highs of 19875?

Dow Jones Futures are back from Friday’s fresh record highs, testing overnight lows at 19765. Back to rising support at 19700?

Watch levels: Bullish 19775, Bearish 19745

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 19755, 19740, 19700, 19680, 19660, 19650, 19620
  • Potential resistance: 19760, 19770, 19780, 19790, 19800, 19820, 19840, 19860, 19875

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 $1147? or;
  2. Will Gold rise towards highs of $1375?

Gold at $1155 is extending its month-long falling channel. RSI stuck oversold is bearish.

Watch levels: Bullish $1157, Bearish $1150

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 1154, 1152, 1151, 1145, 1140, 1135, 1130
  • Potential resistance: 1156, 1159, 1160, 1162, 1164, 1166, 1170, 1172

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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