FTSE 100, DAX and Dow expected to see further gains before long

FTSE 100, DAX and Dow expected to push higher before long, with recent weakness unlikely to last for long.​​

FTSE 100 expected to regain ground after Fibonacci rebound

The FTSE 100 has started to show signs of life again, with the recent retracement seemingly over after we touched and rebounded off the 61.8% Fibonacci support level at 7352.

That points towards the potential for a recovery, yet confirmation of that bullish view came with a rise through the first swing high at 7451. With that in mind, we are likely to push higher from here, with the price challenging the 7474 resistance level this morning. Only a break below 7352 would bring about a less bullish short-term view for the FTSE.

DAX breaks previous highs after recent retracement

The DAX is ahead on its recovery, with the index reaching fresh highs overnight after a rally off a deep retracement at the start of the week.

That rise above 13,810 points towards a continuation of the wider bullish trend. With the price struggling to really gain traction, we could see short-term declines for another pullback. Should that occur, it would be perceived as a short-term phenomenon, with a break below 13,655 required to negate the bullish outlook that remains in play.

Dow Jones easing back from trendline resistance

The Dow Jones rally is coming under pressure following a rally into trendline resistance, with the index starting to head lower. This comes off the back of a bullish tilt from the 76.4% Fibonacci support level on Tuesday.

We could easily see another pullback into that Fibonacci support level, yet ultimately this period of weakness would have to see prices fall below 28,957 to have wider bearish consequences. Until then, there is a good chance we are seeing a retracement phase which ultimately resolves with another move back into the 29,570 peak.

The information 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 Bank S.A. 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 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. See full non-independent research disclaimer.

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, 1.2 on the Germany 30, and 0.4 on the US 500
  • 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, 1.2 on the Germany 30, and 0.4 on the US 500
  • 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.

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.