FTSE eyeing 6880
With the FTSE 100 moving above the 50-day moving average the way seems clear for a run to 6880 once again.
Of course, there should be plenty of caution surrounding this, as we have seen too many moves to 6880 to believe that it will be easy to break through.
A close above yesterday’s high of 6838 would signal that the move is firmly underway, but with so little news today most traders will likely wait until Monday. 6770 still remains support on the downside, and while we remain above 6800 the upside bias is still in place.
DAX lacks direction
Like other markets today, the Germany 30 is being indecisive. A move above the Thursday high of 10,022 and then beyond the June peak of 10,038 is necessary before it can be safely said that a longer-term move is in place.
Until then, we are stuck in a range bounded by 9900-10,040, but the picture looks more bullish than for the FTSE 100, with the three daily moving averages (50,100, 200) all pointing higher. Only a close below 9900 signals a fresh move back to 9600.
Dow continues to head higher
The finish in positive territory yesterday signals there is still plenty of appetite among buyers for more gains in the Dow Jones.
The Dow may not have matched the performance seen by the DAX and S&P 500, but it could well shoot ahead once it clears the June highs. This, along with the Iraq situation, is perhaps the only thing that should concern long traders, but we are still on course to hit 17,000 as the April channel continues to guide the market higher.