FTSE 100, DAX and S&P 500 all in rally mode
Indices have had an extremely strong week, with the DAX in particular firmly bullish.
FTSE 100 keeps rallying
A bounce off trendline support and sharp moves higher for both stochastics and the moving average convergence/divergence (MACD) indicator point towards a resumption of the ongoing uptrend for the FTSE 100.
The price found support around 6325, at the 50-hour simple moving average (SMA) at 6354 and rising support from last Friday’s low. Further gains target 6530 and then on to 6850. Alternatively, a drop below 6320 brings the possibility of a deeper pullback, heading towards 6240 and then 6170 and 6050.
DAX takes off after ECB
For the DAX, yesterday’s drift down towards 12,400 has resolved into a move higher, underpinned like the FTSE 100’s, by rising stochastics and MACD which have helped to revive the uptrend.
This index has gained more than 1000 points in a week, but momentum still lies firmly with the buyers. Having cleared the early-March highs, the price now targets 12,950, 13,200 and then 13,600.
S&P 500 sails higher
The smooth uptrend continues for the S&P 500, leaving little for traders to do but look for dips.
Yesterday’s modest volatility saw the price dip below 3100 but then rebound, and we have already seen a higher high this morning. Higher lows and higher highs remain the order of the day, with no apparent sign that this trend will reverse.
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