CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.

Levels to watch: FTSE 100, DAX and S&P 500

European markets are under pressure again, but in the US indices are holding on to their gains.

Chris Beauchamp ChrisB_IG
Chief Market Analyst, London

Publication date : 2018-06-13T09:38:51+0100

Video poster image

FTSE 100 drops below 7700

Monday’s breakout seems but a distant memory, as the FTSE 100 falls back below 7700 and towards the trendline it broke at the beginning of the week.

The failure yesterday to break 7772 signified that a deeper retracement was likely, and that is what we have seen so far. A break back below 7660 would be a bearish development.

FTSE 100 chart

FTSE 100 chart

FTSE 100 chart

DAX rally turns sour

The surge at the beginning of the week has proven to be a false dawn for now, although the DAX is still 200 points higher from Friday’s lows.

A recovery back above 12,850 would send a positive signal, raising the prospect of another test of 12,950. If the price falls below 12,742 then we could see a push back towards 12,600.

DAX chart

DAX chart

DAX chart

S&P 500 stuck below 2790

There has been little in the way of weakness here, but a close above 2790 still eludes the S&P 500.

A move below 2750 is needed to suggest a more bearish outlook is at hand. Above 2790, 2803 and then the 2877 high will come into view.

US 500 chart

US 500 chart

US 500 chart

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.

Find an article

Find articles by writer

CFDS are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.

This website is owned and operated by IG Bank S.A. Registered address at 42 Rue du Rhone, 1204 Geneva, authorised and regulated by FINMA.

The information on this site is not directed at residents of the United States and Belgium, or any particular country outside Switzerland and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.