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The equity index compass remains pointed north on a combination of US tax reform optimism, traditional year-end Santa Rally and stable but limited macro data. That said, geopolitics still in very much play with ANC leadership change in South Africa, some welcome Brexit respite and Saudi Arabia intercepting a ballistic missile.
The UK UK Index is higher, albeit off its best levels as GBP recovers, thanks to out-sized contributions from BATS/IMB (weaker GBP, US tax reform), OML (unit sale, stronger ZAR), AAL (USD weakness, stable metals), GSK (defensive), STAN (Asia exposure, World bank China growth upgrade) and CRH (US exposure). Any drag relates to ABF (broker downgrade), RB (tech resistance), AZN (consolidating) and RDSb (flat oil).
Germany’s DAX underperforms amid a EUR rebound, led lower by Infineon (broker downgrade), Deutsche Bank (US banks facing write-downs after tax reform?), ProSieben (media outlook) and Fresenius overpowering gains for Lufthansa, BMW (Credit Suisse sector upgrade), HeidelbergCement (US exposure) and ThyssenKrupp.
The UK Index 100 is back from day highs, but only 50pts from its record. The DAX 30 has found resistance at 13325. Dow Jones Futures remain close to another record high . Gold has broken and held above $1261.
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The UK Index 100 is back from day highs, but only 50pts from its record,
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 found resistance at 13325 after yesterday’s 13200 breakout. Bullish flag?
Watch levels: Bullish 13,325; Bearish 13,265
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 remain close to another record high .
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 has broken and held above $1261.
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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