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

Indices are retracing some gains this morning, but the losses are modest thus far.

Japanese data board
Source: Bloomberg

FTSE 100

After several attempts to break above 6700, the FTSE 100’s bounce is finally running out of steam. Some support was found at 6650 on Wednesday, but the shift below here so far on Friday might suggest a period of weakness ahead.

First support is possible at 6600, and then down towards 6500, which helped prevent further downside at the beginning of June. More gains would need a move above 6700, with a daily close above this level required.

DAX

DAX gains have stalled at 10,100, with the 200-day simple moving average (10,081) in the area also contributing to nervousness as the end of the week looms.

Wednesday’s low at 9900 will be the first area to watch for any support and then below this the next area would be the 9800 line, which marked resistance at the beginning of the month. A breakout above 10,100 would head towards 10,400.

S&P 500

US markets are tiptoeing back from their highs, but the week’s uptrend remains intact. With the weekend looming it might be hard to see the rally pushing on for the time being, but support areas to watch in the event of a retracement lie around 2150, 2130 and then 2105. 

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