Levels to watch: FTSE, DAX and Dow

Yesterday’s strong rally for the indices has brought us back into a bullish mindset, which will likely be confirmed or negated in today’s key session.

US traders
Source: Bloomberg

FTSE into range resistance once more

The FTSE 100 is attempting to break through 6179 resistance once more this morning, following on from a temporary retracement last night. Given the fakeout last week, the new breakout level is 6197, where a break above this would bring about the possibility of a surge of directional volatility.

For now, the short-term uptrend is very convincing, yet it seems prudent to await a response to the 6197 resistance to gain a directional bias. Above that level, the resistance levels to watch are 6224, 6237 and 6249. Alternatively, a closed hourly candle below 6158 would bring a more bearish short term view, with 6140 and 6105 the next levels in view. 


DAX continues to charge higher

The DAX is breaking higher in a convincing manner this morning, following on from yesterday’s gains. This index is also approaching a crucial resistance zone, with the 10,084-10,121 area marking a significant hurdle to overcome.

For now, the index remains clearly northbound and thus pullbacks are likely to be bought. Current resistance is provided by a descending trendline (currently 10,050), followed by 10,084 and 10,096. We would need to see an hourly close below 9945 to negate the current short-term bullish trend.


Dow approaching near-term resistance

The Dow Jones is breaking higher this morning, following a shallow retracement overnight. Yesterday’s substantial rally set-up a possible recovery path for the index following a disappointing week for the index just gone.

Given that we saw it break through the key 17,738 resistance level yesterday, there is a good chance of a recovery this week, where a closed hourly candle above 17,756 today would be likely to spark another strong move higher with 17,801 the next key resistance level.

A closed hourly candle below 17,684 would negate this bullish view. 


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.