Levels to watch: FTSE, DAX and Dow

Indices held their ground yesterday, and look set to push higher again today, with both the FTSE and the Dow within easy distance of all-time highs. 

Wall Street
Source: Bloomberg

FTSE 100 – can it go to 7540?

A mixed session yesterday saw the FTSE hover around 7500. There was little momentum in either direction, so we wait to see if a push above 7520 can bring 7540 into play.

Conversely, the bears will need to get the price below the 7385 low from last week to signal more selling is on the way.

DAX halted by the strong euro

Here too it was an uninspiring day yesterday, with euro strength making life difficult for eurozone indices. The DAX tried to push above 12,660, but ran out of steam, so this is the first target for the bulls today.

A move back above this level leaves the index with 12,785 and then 12,850 as upside targets. A loss of 12,490, the low of last week, would represent a significant development and signal that further losses are on the way.

Dow to reach all-time highs soon?

US markets have found their form once again, with the Dow Jones having climbed 400 points since the low. Areas of potential resistance are 21,023 and then 21,171.

A move back below 20,846 would be the first sign that bullish momentum has faded. Given the strength seen here in recent days it would not be surprising to see fresh all-time highs within a short space of time.

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