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 rally through economic weakness

FTSE 100, DAX and Dow gain ground despite last week's poor data, with the short-term trends pointing towards further upside to come.

FTSE 100 continues to climb from Fibonacci support

The FTSE 100 bottomed out at the 76.4% Fibonacci level (5690) in early-May, with the index continuing to rise since then.

We have seen the index pullback into trendline support this morning, pointing towards the potential for another move higher from here. There are questions over the longevity of this rally, yet it makes sense to continue expecting upside unless we see the 5928 level broken.

DAX falls into trendline support

The DAX has similarly eased back into trendline support this morning, with the index trading within a rising channel over the past two trading days.

There is a good chance we turn higher once again from here in a bid to continue the recent uptrend. That bullish short-term view holds unless we break below the 10,817 level.

Dow Jones outperforms in a push towards the April peak

The Dow saw sharp gains on Friday, with initial signs pointing towards a similar move today. That initial upside overnight has eased back since, with the index seeing some downside from the 76.4% Fibonacci resistance level.

As such, there is the potential for further downside over the short term, with a rally through the 24,560 overnight peak required to continue the bullish push towards the 24,903 resistance level.

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.