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Index Focus - 6 December 2016

Equities are mixed this morning with the UK Index seeing a fierce tug of war between heavyweight financial gainers and Commodity losers. Banks remain bid on expectations of a state bailout for Monte dei Paschi di Siena this weekend, one which should prevent an Italian baking collapse and Eurozone contagion. Commodities are suffering from a pullback in metals prices and a strong GBP (2-month highs vs USD) denting the value of internationally generated  profits even if Brent Crude Oil is still rallying. DAX and Wall St flat, the former held back by EUR strength following the Italian referendum.

The  UK 100  has rebounded from an early sell-off to but remains hindered by falling highs at 6750. The DAX 30 has turned back from 2-week falling highs at 10750. Dow Jones Futures are back from all-time highs, but holding above prior resistance 19200.  Gold is sideways around $1171 safe haven demand having settled after the Italian referendum.

Where next?
  1. Will the index fall towards lows of 6650 or;
  2. Will the index rise towards highs of 6800?

The UK 100 has rebounded from an early sell-off to but remains hindered by falling highs at 6750.

Watch levels: Bullish 6755, Bearish 6735

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 6740, 6737, 6720, 6700, 6680, 6650
  • Potential resistance: 6750, 6755, 6760, 6770, 6800

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 9980? or;
  2. Will the index rise towards highs of 10800?

The DAX 30 has turned back from 2-week falling highs at 10750 to remain with the confines of its 4-month 10200-10800 sideways channel.

Watch levels: Bullish 10725, Bearish 10650

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 10685, 10665, 10630, 10600, 10550, 10425, 10400, 10350
  • Potential resistance: 10710, 10725, 10740, 10780, 10800

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 19090? or;
  2. Will the index rise towards highs of 19284?

Dow Jones Futures are back from all-time highs, but holding above prior resistance 19200. Rising lows for the week.

Watch levels: Bullish 19240, Bearish 19190

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 19210, 19195, 19180, 19160, 19120, 19100
  • Potential resistance: 19230, 19270, 19284, -

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 rise towards highs of $1188? or;
  2. Will Gold fall below lows of $1158?

Gold is sideways around $1171 safe haven demand having settled after the Italian referendum.

Watch levels: Bullish $1172, Bearish $1169

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 1170, 1169.5, 1168, 1166, 1162, 1158
  • Potential resistance: 1172, 1174, 1178, 1180, 1188

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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