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

Indices have continued Friday’s bounce into the new week, but for the DAX the outlook remains bleak.

German stock exchange trader
Source: Bloomberg

A good start to the week for FTSE 100

Friday’s dip below 7360 was met by buying, and further momentum this morning has lifted the FTSE back above 7400. Last week saw price action falter at the descending trendline off the June high, so we would need to see a close above 7460 to break this. From there a move to 7500 and higher comes into view.

A close below 7360 would be a bearish development, although it would require a firm drop below the 7300 area to really indicate more weakness is ahead.

FTSE chart

DAX between a bounce a new lower low

The DAX finished the week on a poor note, touching its lowest level since mid-April. A key point of interest last week was provided at 12,180, with dips below this area finding buyers.

The creation of a new lower low would certainly suggest that the bears still have the upper hand, as they have since early June. A bounce would target 12,310 in the short term, followed by the descending trendline off the June highs. 

DAX chart

S&P 500 on a high

A fresh record high for S&P 500 last week and a stronger finish to the session on Friday sets us up for a good start to the new week today, and the new month tomorrow.

Last week’s 2483 high is the only point of resistance, while support on the daily chart could come into play around 2454. Intraday, 2465 was the area that prevented further downside last week, so this is the immediate area to watch.

S&P 500 chart

Denna information har sammanställts av IG, ett handelsnamn för IG Markets Limited. Utöver friskrivningen nedan innehåller materialet på denna sida inte ett fastställande av våra handelspriser, eller ett erbjudande om en transaktion i ett finansiellt instrument. IG accepterar inget ansvar för eventuella åtgärder som görs eller inte görs baserat på detta material eller för de följder detta kan få. Inga garantier ges för riktigheten eller fullständigheten av denna information. Någon person som agerar på informationen gör det således på egen risk. Materialet tar inte hänsyn till specifika placeringsmål, ekonomiska situationer och behov av någon specifik person som får ta del av detta. Det har inte upprättats i enlighet med rättsliga krav som ställs för att främja oberoende investeringsanalyser utan skall betraktas som marknadsföringsmaterial. 

Artiklar av våra analytiker