Levels to watch: FTSE 100, DAX and Dow

The indices are consolidating following their recent rebounds. However, with the Dow showing signs of potential weakness, could we see another pullback in the near term?

FTSE 100 turning higher within gradual ascent

After setting another deep retracement overnight, the FTSE 100 is moving higher.

The index has been in recovery mode, and as long as the price remains above the 7179 mark, another leg higher looks likely from here. Look out for near-term resistance at 7312.

DAX consolidating after rebound

Off the back of a sharp rebound on Tuesday morning, the DAX has been drifting gradually lower. The shallow nature of this current move points towards a bullish break higher before long.

However, that doesn’t rule out another short-term move lower for a deeper retracement, with trendline resistance coming into play on the stochastic oscillator. Watch for a break above 12,652 as a signal that this current retracement is over. 

Dow threatens to post deeper retracement

The price fell marginally below the low set yesterday morning, meaning the Dow Jones failed to maintain the trend of higher highs and higher lows.

The ability to break above 25,298 would signal that this is not something to worry about. However, there is a possibility that this is providing a precursor to another move lower, with a bearish divergence between the price and the stochastic highlighting this. Should that occur, the Fibonacci support levels at 23,947 and 23,628 would come into play as potential buying areas. 

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material 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 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. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research 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 and quarterly summary.

Find articles by analysts

Een artikel zoeken

Form has failed to submit. Please contact IG directly.

  • Ik wens per e-mail informatie van IG Group bedrijven te ontvangen over handelsideeën en IG's producten en diensten.

Voor meer informatie over hoe wij uw gegevens mogelijk kunnen gebruiken, bekijkt u ons Privacy- en toegangsbeleid en onze privacy website.

CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen. 79% van de retailbeleggers lijdt verlies op de handel in CFD’s met deze aanbieder.
Het is belangrijk dat u goed begrijpt hoe CFD's werken en dat u nagaat of u zich het hoge risico op verlies kunt permitteren.
CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen.