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Index Focus - 13 February 2017

Equity markets are starting the week on a positive note despite a significant lack of drivers, picking up where US indices left off on Friday. With a serious dearth of both macro data and significant speakers on either sides of the Atlantic, investors have been left with scraps to provide early direction. As a result, trading ranges are limited on UK indices and US futures, while the export-heavy DAX outperforms thanks to USD weakness.

Despite having fallen from its highs, copper price remains close to the 20-month high reached overnight, much to the benefit of the heavily weighted UK 100 mining sector (GLEN, RIO, BLT, AAL), while USD weakness sees HSBC, Tobacco stocks and the Oil majors at the back of the pack, the latter underperforming even after OPEC’s latest monthly report showing a 90% compliance rate.

The UK 100 is holding above 7260 intersecting support having fallen back from 7280 overnight highs. Is a break down or bounce on the cards? The DAX 30 is rallying towards 2017 rising highs resistances. Could a challenge of 2017 highs be in the offing? Dow Jones Futures are pointing towards a record open on Wall Street, despite falling back from 20,330 overnight highs. Gold has so far been unable to overcome falling highs resistance from the end of last week. Could fresh USD weakness see a breakout?

Click below to expand sections for more detailed analysis

Where next?
  1. Will the index fall towards lows of 7090? or;
  2. Will the index rise towards highs of 7360?

The UK 100 is holding above 7260 intersecting support having fallen back from 7280 overnight highs. Is a break down or bounce on the cards?

Watch levels: Bullish 7285, Bearish 7250

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 7265, 7250, 7240, 7235, 7220
  • Potential resistance: 7270, 7275, 7280, 7320

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 11500? or;
  2. Will the index rise towards highs of 11885?

The DAX 30 is rallying towards 2017 rising highs resistances. Could a challenge of 2017 highs be in the offing?

Watch levels: Bullish 11800, Bearish 11650

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 11725, 11700, 11670, 11650, 11640, 11620, 11600
  • Potential resistance: 11800, 11850, 11875

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 19,675? or;
  2. Will the index rise towards highs of 20,330?

Dow Jones Futures are pointing towards a record open on Wall Street, despite falling back from 20,330 overnight highs.

Watch levels: Bullish 20,330, Bearish 20,250

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 20290, 20265, 20245, 20200, 20180, 20165, 20100
  • Potential resistance: 20315, 20230, -

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 $1,122? or;
  2. Will Gold rise above highs of $1,245?

Gold has so far been unable to overcome falling highs resistance from the end of last week. Could fresh USD weakness see a breakout?

Watch levels: Bullish $1232, Bearish $1225

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 1229, 1228, 1226, 1224, 1222, 1215, 1210
  • Potential resistance: 1232, 1234, 1236, 1244

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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