CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

FTSE 100, DAX and Dow all in full sell-off mode

Indices are in full retreat, having endured one of their worst weeks in market history.

FTSE 100 completes round trip to 2018 lows

The FTSE 100 has, in the space of a week, given back all the gains since December 2018. Below this, 6070 and then 5880 become the major levels to watch.

The market’s downside momentum has taken on a life of its own, and as a result the real clue to direction will come from how it deals with further intraday rallies. For the index, the bounces tend to last just a few hours, and so far this week moves towards the 50-hour simple moving average (SMA) at 6832 head into resistance. If this continues then we can expect the market to create another lower high and then retest the low at 6536.

DAX back below 12,000

For the DAX it is only, so far, a pullback to levels last seen at the end of last August. But the direction of travel intraday is still clear – short-term bounces creating lower highs.

Any rally towards 12,400 would need to then break above 12,600 to avoid creating another lower high. Having rallied yesterday from the late September low at 11,820, the price will need to break this to target 11,700 and then the August lows around 11,390.

Dow slumps to six-month low

The correction has been swift and unrelenting for the Dow Jones, with small bounces being met with waves of selling.

For now the price has stabilised above 25,154, but a bounce towards the 50-hour SMA at 26,465 might as easily bring out the sellers once again, as we saw on Wednesday and Thursday. Below 25,154, the price heads to 24,632, the low from the end of May 2019.

This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

Seize your opportunity

Deal on the world’s stock indices today.

  • Trade on rising or falling markets
  • Get one-point spreads on the FTSE 100
  • Unrivalled 24-hour pricing

See opportunity on an index?

Try a risk-free trade in your demo account, and see whether you’re on to something.

  • Log in to your demo
  • Try a risk-free trade
  • See whether your hunch pays off

See opportunity on an index?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Get spreads from one point on the FTSE 100
  • Trade more 24-hour indices than any other provider
  • Analyse and deal seamlessly on smart, fast charts

See opportunity on an index?

Don’t miss your chance. Log in to take your position.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Friday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.