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Equities have recovered from earlier losses to trade in positive territory, as the US Dollar takes a foot off the accelerator and rising oil prices instead are the driving markets. A lack of meaningful macro data today gives further impetus for the crude-inspired performance, made after early gains from European currencies (Euro and Sterling) as a result of aforementioned US Dollar weakening (perhaps only temporary respite) saw indices on the back foot after European market opening. A pledge from UK PM Theresa May that the UK corporate tax rate will be the lowest in the G20 whilst signalling a U-turn on proposed worker representation on directors’ boards have seen the UK Index recover from challenging 2-week rising lows support, while increasing commodity prices (once again due toe USD weakness) are helping German exporters on the DAX.
The UK 100 recovered earlier from a challenge of 2-week rising support to then challenge 3-week resistance at 6820, only to turn back once again. The DAX 30 also recovered from lows of 10600 to trade above 10700. Dow Jones Futures have bounced from the floor of its one week narrowing pattern trading channel. Gold is bouncing from 8-month lows of $1206.
The UK 100 recovered earlier from a challenge of 2-week rising support to then challenge 3-week resistance at 6820, only to turn back once again. Will it be a break up or down for the UK Index ?
Watch levels: Bullish 6770, Bearish 6730
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 also recovered from lows of 10600 to trade above 10700. Can it go on to challenge its 10800 trading channel ceiling?
Watch levels: Bullish 10755, Bearish 10590
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 have bounced from the floor of its one week narrowing pattern trading channel. A brief challenge of 18900 resistance yielded nothing. Which will be challenged next?
Watch levels: Bullish 18905, Bearish 18840
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
Gold is bouncing from 8-month lows of $1206. Will the bounce continue or will it turn back towards support?
Watch levels: Bullish $1230, Bearish $1199
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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