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Index Focus - 13 February 2018

The UK Index and DAX trade flat, held back by respective GBP and EUR strength versus the USD, fuelled by US spending plans (budget, infrastructure) sending USD lower whilst hot UK inflation keeps GBP strong along with the safehaven Yen and Swiss Franc. US indices look set to give up most of yesterday’s gains amid continued outlook uncertainty for US inflation and borrowing costs. Tech, Telecoms, Utilities underperform versus Miners, and Travel.

The UK UK Index  is flat, with the positive contribution from Miners (weaker USD, higher metals prices) and Travel (TUI results) offset the drag from a host of defensives including Tobacco (stronger GBP) and Telecoms (under continued pressure).

The UK Index 100 is stuck below falling highs resistance at 7200. The DAX 30 is back below 12300 having succumbed to falling highs resistance. Dow Jones Futures are back below 24500, hampered by falling highs. Gold is at a $1330 crossroads its rebound channel having encountered Jan falling highs resistance.

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Where next?
  1. Will the index fall towards lows of 6,930? or;
  2. Will the index rise towards highs of 7,400?

The UK Index 100 is stuck below falling highs resistance at 7200.

  • Watch levels: Bullish 7,220, Bearish 7,140

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 7165, 7140, 7100, 7025, 6980, 6930
  • Potential resistance: 7200, 7220, 7260, 7315, 7365, 7390

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 11,700 or;
  2. Will the index rise towards highs of 13,300?

The DAX 30 is back below 12300 having succumbed to falling highs resistance

Watch levels: Bullish 12275; Bearish 12200

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 12200, 12100, 12000, 11900,
  • Potential resistance: 12300, 12400, 12500

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 23,160? or;
  2. Will the index rise towards highs of 26,705?

Dow Jones Futures are back below 24500, hampered by falling highs.

  • Watch levels: Bullish 24,500, Bearish 24,00

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 24400, 24300, 24255
  • Potential resistance: 24500, 24650, 24765

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 $1,307? or;
  2. Will Gold rise towards highs of $1,366?

Gold is at a $1330 crossroads its rebound channel having encountered Jan falling highs resistance.

  • Watch levels: Bullish $1331, Bearish $1325

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: UPtrend
  • Potential support: 1327, 1325, 1322, 1317, 1311
  • Potential resistance: 1331, 1333, 1340, 1346, 1350

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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