Indices look to continue recent gains
Indices have remained in strong form, avoiding any significant falls even as earnings season moves into high gear.
FTSE 100
While it has yet to recoup last week’s highs the index has so far shrugged off any further weakness, holding above 6850 and clawing back some lost ground. Further gains head towards 7050, with the bullish view back in place unless a reversal below 6850 takes place.
DAX
A slow recovery over the past three sessions still leaves the index off the highs of mid-month, but here too the bearish view has been negated for the time being. Support around 15,100 continues to hold, and has provided the foundation for a move back towards 15,500. Sellers will need to push the price below 15,000 to suggest a deeper retracement has begun.
S&P 500
Friday briefly saw the index hit a new record high, as it cast aside any worries about the planned tax increases. A move into a new record high seems likely this week, although with so many big tech earnings on the calendar there is the potential for some volatility at least, if not an outright move lower.
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