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Equity indices are lower, the German DAX underperforming once again as disappointing earnings reports add to unwelcome EUR strength, after fears of delays to US tax reform pushed the USD lower. The UK Index and Dow are both offside to a similar degree, the former despite more supportive China data and USD weakness for Miners, the latter on fears of a delay to the corporate tax cuts that have helped fuel US share price advances for so long.
The UK 100 is lower due to declines for BP (ex-dividend), GLEN/BLT/RIO (metals weakness), NG/BRBY (results) and PSN (Redrow results, RICS data). Offering buoyancy are gains for HSBC (preference for Asia exposure, share buyback hopes), RDSb (oil prices firm), VOD (pact with CityFibre), AZN (results) and ABF (bounce after disappointing results).
Germany’s DAX is dragged lower by outsized losses for ProSieben (guidance cut) and results-inspired falls drops for heavyweights Siemens and Adidas, while we see gains for banks (Commerzbank results helping it and Deutsche) and Autos (Continental results; VW CEO comments on guidance).
The UK Index 100 is testing 7500 rising support. The DAX 30 is pulling back towards 13200 in a bearish flag. Dow Jones Futures have breached rising support to move into a shallower rising channel at 23450. Gold has broken above $1283.
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The UK Index 100 is testing 7500 rising support, still in a larger rising channel.
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 is puling back towards 13200, in a bearish flag., within a 2.5-month rising channel.
Watch levels: Bullish 13,290, Bearish 13,260
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 breached rising support to move into a shallower rising channel at 23,450.
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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Gold has broken above $1283. Bullish reversal?
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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