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Equity markets are positive across the board this morning, with the UK 100 outperforming thanks to a double breakout from resistance shortly after the open, helped by a mix of technical breakouts and corporate results, alongside a couple of post-profits warnings recovery rallies (or potential dead cat bounces?). Despite Sterling rallying from overnight multi-month lows, this has done little to dampen sentiment. Macroeconomic data has been largely supportive, with the second reading of UK Q2 GDP being reported in-line with preliminary estimates, although a miss for UK CBI Retail Sales could prove to be a precursor for headline Retail sales in three weeks’ time.
Gains for the UK’s blue chip index come courtesy of BATS (Jeffries reiterate 6500p despite FDA sell-off), CRH (results), RB. (tech. breakout), RIO (copper rally) & BP (Oil higher), WPP (following yesterday’s sell-off) and HSBC. This is negating losses for SHP (stronger Pound), easyJet (Lufthansa confirming Air Berlin bid) and LLOY (hitting resistance). Note PFG shares are over 20% higher following Tuesday’s profits warning. Germany’s DAX is also nicely positive thanks to Daimler, RWE and Fresenius offsetting losses for Linde.
The UK Index 100 has paused at 7415 having overcome resistance at 7395 and 7405. The DAX 30 continues to rally from rising lows support at 12,170. Dow Jones Futures are narrowing between 21,800-21,850. Gold remains below $1292 resistance after failed challenges overnight.
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The UK Index 100 has paused at 7410 having overcome resistance at 7395 and 7405.
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 continues to rally from rising lows support at 12,170.
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 are narrowing between 21,800-21,850. Will they break higher or lower?
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 remains below $1292 resistance after failed challenges overnight.
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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