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Index Focus - 6 November 2017

Global equities are making a hesitant start to the week as a plethora of political risks and a lack of data drivers hamper investor sentiment. The combination of the ‘Paradise Papers’, the Westminster sex/sleaze scandal, the ongoing Spanish constitutional crisis, a spate of corruption allegation in Saudi Arabia and a suitably firebrand Trump on his visit to Asia all weigh. Sterling recouping some of its Bank of England-inspired losses is hampering the UK 100 ‘s internationally-exposed names, offsetting the positive impact from a buoyant commodities sector.

The UK 100 sees positive contributions Miners, Oilers and Healthcare offset by the drag of a range of USD-sensitive names (BATS, HSBC, RB. & PRU) alongside Financial names after last week’s dovish BoE hike. Germany’s DAX is also in the red as Deutsche Telekom suffers after the breakdown of the Sprint/T-Mobile merger talks alongside ProSiebenSat.1, Adidas, Deutsche Boerse and Deutsche Bank, offsetting positivity amongst select Defensives (RWE) and Healthcare names (Fresenius, Merck, Bayer).

The UK Index 100 remains hindered by overnight falling highs at 7555. The DAX 30 has retreated from 13506 all-time highs. The Dow Jones Futures are making another run at fresh record highs. Gold is moving higher having overcome overnight highs of $1271.

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Where next?
  1. Will the index fall towards lows of 7,410? or;
  2. Will the index rise towards record highs of 7,600?

The UK Index 100 remains hindered by overnight falling highs at 7555.

  • Watch levels: Bullish 7,565, Bearish 7,540

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 7550, 7530, 7500, 7480, 7450
  • Potential resistance: 7555, 7565, 7570, 7580, 7600, -

Important: The information provided above does not constitute advice or opinion and must only be regarded as technical observations.

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Where next?
  1. Will the index fall towards lows of 13,405 or;
  2. Will the index rise to record highs of 13,505?

The DAX 30 has retreated from 13506 all-time highs. Bearish triangle pattern?

Watch levels: Bullish 13460, Bearish 13,435

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 13440, 13420, 13400
  • Potential resistance: 13455, 13470, 13480, 13500, -

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 23,340? or;
  2. Will the index rise to fresh highs above 23,555?

Dow Jones Futures are making another run at fresh record highs of 23554.

  • Watch levels: Bullish 23,540; Bearish 23,520

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Uptrend
  • Potential support: 23520, 23510, 23505, 23470
  • Potential resistance: 23545, 23550, -

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 $1,266? or;
  2. Will Gold rise towards highs of $1,281?

Gold is moving higher having overcome overnight highs of $1271.

  • Watch levels: Bullish $1272.5, Bearish $1271

Solid Green line
Possible support

Solid Red line
Possible resistance

  • Trend: Sideways
  • Potential support: 1271.5, 1270, 1268, 1266, 1264
  • Potential resistance: 1272, 1272.5, 1276, 1278, 1280, 1281

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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