FTSE preparing to break higher
The 100-daily moving average has come to the rescue for the FTSE today, despite copper prices being under the weather as the index is attempting to break higher. The 6750 level and the usual barrier of 6772 are standing in the way of any upside gains presently. Any moves back through the 6698 level could target 6670.
The one-hour chart shows a descending channel and since the relative strength index (RSI) became oversold, we have seen price action hit the bottom band of the channel in early trade.
The 6770 level on the daily chart coincides with the 100- and 200-hour moving averages. So in order to really gain upside traction, we’d need a concerted break through 6802.
DAX anchored by DMA
The DAX is anchored around the 100-DMA with support coming from 9260 in early trade. The 9395-9400 level is acting as resistance with no tests of the metric thus far today. Any moves through here target the 9460-70 levels. The 50-DMA at 9509 will be something of a barrier should the market make any headway.
For now on the intraday, the RSI is back in neutral territory and we are looking at a rangebound day with little on the calendar to break investors out of the reverie.
Dow fails to break through barrier
The Dow Jones showed an indecisive candle on Friday failing to break through 16,500 with much commitment. The 50-hour MA is supporting the futures trade, but unless we see price action retake the uptrend from the February lows of 15,341, a return to 16,416 is on the cards. The 100-hour MA was tested this morning but saw good bidding at 16,375 – any break through here targets 16,345 then 16,315.