Levels to watch: FTSE 100, DAX and S&P 500

Although the FTSE 100 is lagging this morning, other indices are putting on early gains. 

FTSE 100 tries again to hit 7700

The FTSE 100 continues to find it difficult to hold above 7700 on a sustained basis, although after a week of gains it was always going to be a tough call for the bulls to hold their ground late on Friday.

So far, the index appears to be holding its ground above trendline resistance from the all-time high, and a further push higher will target the 7700-7720 area that has stymied progress since mid-June. A close below 7650 suggests a move back to 7560 in the near term, and then down to 7500.

DAX pushes on to 12,600

A mid-week dip provided DAX buyers with an entry point around 12,400, with further momentum pushing the price back towards the 12,600 area that acted as resistance early last week.

Above here, 12,954 comes into view, and then downtrend resistance from the January all-time high. Rising trendline support comes into view around 12,480.

S&P 500 breaches vital resistance zone

Having formed a higher low in early July, the S&P 500 pushed higher last week.

It has opened above the 2800 resistance area that has held back progress since February, which would put the index on course for the record high at 2877. A close back blow 2790 would suggest some near-term bearish momentum, but the longer-term bullish outlook persists unless we see a close below 2690.

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