FTSE 100, DAX and Dow expected to turn higher once again

FTSE 100, DAX and Dow eases overnight, yet further upside looks likely before long.

Overnight FTSE 100 weakness could be fleeting

The FTSE 100 has drifted lower overnight, following on from a rebound on Tuesday. That rise came off the back of a sharp decline into the notable 7078 support level, signaling the potential for a stronger rebound to come into play.

The sharp rally on Tuesday, coupled with the gradual nature of overnight losses points towards another move higher before long. Watch out for a break through the recent high of 7216 as a bullish signal. Alternatively, a break below 7064 would be required to negate this outlook.

DAX rebound likely to resume

The DAX has similarly drifted lower overnight, following on from a sharp rebound yesterday.

The minimal size of that rate cut means we are likely to see further upside come into play before long. We are starting to see that bullish picture again with prices rising into the 11,667 area. A break through that level would point towards a bullish picture reemerging.

Dow rally starting to ease

The Dow Jones recovery has been slowing after a day of sharp gains yesterday.

This uptrend looks likely to persist once again given the turn higher in the stochastic oscillator. Thus, the short-term bullish picture remains in place unless we see a break below the 25,708 swing low established overnight.

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.