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

The relaxation of trade war tensions has allowed the indices to start the week on a positive note.

Chris Beauchamp ChrisB_IG
Chief Market Analyst, London

Publication date : 2018-05-21T09:15:47+0100

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FTSE 100 breaks new ground

The FTSE 100 gapped higher, and has begun the week at new all-time highs as the parabolic move higher continues.

Pullbacks towards 7723 should find buying pressure, and even a dip towards 7680 and 7630 may still simply see new buyers emerge.

FTSE 100 chart

FTSE 100 chart

FTSE 100 chart

Nasdaq 100 aims to build bullish momentum

The Nasdaq 100 has moved sideways since hitting 7000 a week ago, but has continued to hold the 6850 area of support.

If this continues to hold, then a move back to 7000 and 7033 is possible, and from here on towards the all-time high at 7186. Below 6850, 6770 and 6640 are areas of possible support.

Nasdaq chart

Nasdaq chart

Nasdaq chart

S&P 500 gaps higher

News of possible détente in the trade war between the US and China caused US markets to gap higher, with the S&P 500 recovering some of the ground lost towards the end of last week.

Further gains will target 2740, the peak from mid-May, and from here on toward 2760, 2790, and 2803.

US 500 chart

US 500 chart

US 500 chart

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