FTSE 100, DAX and Dow ease back after recent surge
FTSE 100, DAX and Dow eases back after the recent surge. Will it be a short-term blip?
FTSE 100 continues to consolidate below key resistance
The FTSE 100 has been limited in its upside over the past week, with the 7636 resistance level capping any upside as the index seeks to reflect the optimism of its peers.
A break through that 7636 level would bring about a more confident bullish outlook, negating the bearish break below 7525 seen on Tuesday. As such, watch for a break above 7636 to bring a bullish outlook, with the index able to move lower as long as we remain below that level.
DAX eases back after rally into trendline resistance
The DAX managed to break into a 23-month high last week, with the index bumping into trendline resistance. We have seen that rally ease back since, with the index just starting to rise again this morning.
With that in mind, we would need to see a break through the 13,551 peak to bring about a renewed bullish view. However, bear in mind the fact that we have the crucial all-time high resistance within touching distance around 13,601. To the downside, we would need to see a break below 13,429 to bring about a more bearish outlook.
Dow Jones pulls back after fresh highs
The Dow Jones has been on the slide since seeing fresh highs at 29,057. That signals a continuation of the wider uptrend, with the current pullback likely to be a retracement and precursor to further gains.
A break back through that 29,057 level would point towards another leg higher, while a deeper retracement remains a possibility until that happens.
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