Levels to watch: FTSE, DAX and Dow

Indices continue to push higher after a blockbuster move yesterday which seems to have dramatically improved sentiment across the markets.

Source: Bloomberg

FTSE breakout points to gains
​The index has finally broken out from it’s almost two month range, with crude prices providing the boost needed to push through 6237. The extension of this means we are likely to see this follow through, as is being seen this morning.

Pullbacks will be worth watching out for as buyers seek to enter at a more advantageous price. The bullish view holds unless we see a closed hourly candle back below 6237. Until then, a bullish outlook is in play, with 6324 the next key resistance level.

DAX rally runs into resistance
The index has also seen substantial gains this week, with a push back towards the 9907 resistance level. How the index responds to this level will dictate the state of play for the day. Once more, pullbacks will be seen as retracements, with a bullish view held unless we see an hourly close below 9615. The next resistance levels of note is 9907, 9928 and 10,096.

Dow breaks to new high
The index has followed through on the new highs created on Monday, with the index punching to a high for the week. Given the highly extended rally, there is a good chance of a pullback.

However, the index seems to be on a more bullish path and thus pullbacks will be deemed retracement unless we see a move back below 17,550. Support levels of note are 17,733 and 17,696, with resistance at 17,792 and 17,845.

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