Skip to content

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Levels to watch: FTSE 100, DAX and Dow

European markets have opened lower, following another torrid session in the US.

Video poster image

FTSE 100 downtrend continues

The FTSE 100 has created a lower high as the downtrend continues.

Further weakness will see 6979 and then 6919 tested, and then down to 6841, the lows of late March. A bounce needs to clear 7100 to break the recent high, and then move above 7130 to break the downtrend line.

DAX working to break above 12,164

Buyers have pushed the DAX up from its March lows down at 11,700, but there is still some work to do to break back above the 12,164 high from last week.

The next targets are 11,908 and then 11,692. Even a rebound to 12,300 would still leave the index below the descending trendline from the February highs.

The Dow holding for now

The Dow Jones has, for the moment, managed to hold the 200-day simple moving average (SMA) at 23,523.

A bounce from here would head back towards the downtrend from the record high, and would suggest a rally back to 24,700. A decline below 23,358 would raise the prospect of a test of 23,112.

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Find articles by writer