FTSE 100, DAX and Dow hit by flagging eurozone PMI surveys
FTSE 100, DAX and Dow weaken after eurozone PMI surveys raise growth fears.
FTSE 100 rebound coming under pressure
The FTSE 100 has been gradually gaining ground of late, with the index looking like it could turn higher once again.
However, the eurozone purchasing managers index (PMI) surveys seen this morning have dented the FTSE direction, dragging it back towards a key support level. Watch for whether the price break below the next support levels around 7316 and 7310 as a gauge of whether we see further downside from here.
DAX hit hard by PMI surveys
The DAX has been selling off sharply this morning, following on from some pretty disappointing PMI surveys from France and Germany.
With German manufacturing now at 41.4, there is plenty of reasons for people to sell the DAX. Those figures saw a confluence of trendline and simple moving average (SMA) support taken out, with the price now moving into the 12,306 level. Should we see that low taken out, it would point towards a wider period of downside coming into play. Alternatively, respect of that level would point towards a continuation of the recent consolidation.
Dow seeks to continue Friday’s bearish theme
The Dow Jones is turning lower once again this morning, helped in no part by those eurozone PMI figures.
Coming off the back of a sharp decline on Friday, the reaction to that 26,899 level will be important. Ultimately, this all looks like a retracement of the rally from 26,714, pointing towards the potential for a bullish reversal before long. However, short-term losses still look a distinct possibility.
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