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Index Focus - 19 March 2018

Global equities are sharply lower, making for a cautious start to the trading week, with investors focused on the twin threats of a global trade war and a more hawkish Fed update on Wednesday. The UK Index underperforms after the GBP strengthened on reports of a UK/EU agreement on Brexit transition, which would make sense with a Barnier/Davis presser scheduled for 11.45am, although it sounds like the Irish border issue has yet to be fully resolved.

The UK 100  has been dragged lower by the likes of RDSb/BATS/BP/DGE/ULVR/IMB (stronger GBP), MCRO (profits warning, CEO resignation), Miners (lower metals prices) and HSBC (profit-taking). The only meaningful support comes from BARC (activist investor takes 5% stake) adding just 5pts.

The UK Index 100 has found support at 7070, just before March lows. The DAX 30 has bounced off 12230 to maintain its uptrend. Dow Jones Futures are making a bearish test of Feb rising support. Gold looks to be in a new falling channel.

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Where next?
  1. Will the index fall towards lows of 6,921? or;
  2. Will the index rise towards highs of 7,340?

The UK Index 100 has found support at 7070, just before March lows

Watch levels: Bullish 7,095 Bearish 7,065

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 7065, 7045, 7000, 6980
  • Potential resistance: 7080, 7095, 7110, 7130, 7155, 7185

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 12,125 or;
  2. Will the index rise towards highs of 12,475?

The DAX 30 has bounced off 12230 to maintain its uptrend.

Watch levels: Bullish 12,295; Bearish 12,230

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 12270, 12250, 12220, 12215, 12200, 12170, 12125
  • Potential resistance: 12290, 12310, 12330, 12370, 12410, 12450

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 24,231? or;
  2. Will the index rise towards highs of 25,507?

Dow Jones Futures are making a bearish test of Feb rising support.

  • Watch levels: Bullish 24,830, Bearish 24,780

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 24790, 24755, 24700, 24675
  • Potential resistance: 24830, 24850, 24900, 24950, 25000

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 $1,300 ? or;
  2. Will Gold rise towards highs of $1,341?

Gold look to be in a new falling channel

  • Watch levels: Bullish $1313, Bearish $1307

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Downtrend
  • Potential support: 1310, 1308, 1307, 1300, 1290
  • Potential resistance: 1313, 1315, 1322, 1330, 1341

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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