Bullishness fades across FTSE 100, DAX and S&P 500

Despite yesterday’s bounce indices are finding it hard to make further progress, with the FTSE 100, DAX and S&P 500 all stalled below last week’s resistance.

FTSE 100

Unlike US markets, the FTSE 100 only enjoyed a modest rally, and once again gains stalled below 7300, providing a firm line for longs and shorts to watch.

A continued failure to move above this level maintains a bearish view, targeting 7164 and then 7060, the low from last week. A close below this would be very bearish, since it would mark a drop back below a level that has held since February. Downside targets would then be 6734 and 6534. A move above 7300 rescues the bullish thesis, and would open the way to 7500 and higher.

FTSE 100 chart Source: ProRealTime

FTSE 100 chart Source: ProRealTime

DAX

The picture here is very similar to the FTSE 100, as the DAX fails to move through 11,800, maintaining the zone of resistance established last week. Further declines head to 11,540 and 11,340.

The low from last week mirrors the bounce from this zone in late March, and a move through here firmly establishes the bearish view. Bulls need a move above 11,800 to begin to revive the positive outlook for the index.

DAX chart Source: ProRealTime

DAX chart Source: ProRealTime

S&P 500

US equities reacted positively to the news of tariff postponement, but since surging the S&P 500 has held below 2940, and like Europe this is the level from last week that needs to be broken to provide more upside.

Buyers need to step in now to push the index through this level, or the bearish view may reassert itself. Some pre-market weakness is possible, and a retracement of some of yesterday’s gains that then creates a higher low would be a good sign, but a full drop back to, and then below, 2869 would reassert the bearish view in dramatic style.

S&P 500 chart Source: ProRealTime

S&P 500 chart Source: ProRealTime


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.

Take a position on indices

Deal on the world’s major stock indices today.

  • Trade the lowest Wall Street spreads on the market
  • 1-point spread on the FTSE 100 and Germany 30
  • The only provider to offer 24-hour pricing

See opportunity on an index?

Don’t miss your chance. Try a risk-free trade in your demo account, and find out whether your hunch could have paid off.

  • Log in to your demo
  • Try a risk-free trade
  • See whether your hunch pays off

See opportunity on an index?

Don’t miss your chance. Upgrade to a live account to take advantage.

  • Get fixed spreads from 1 point on FTSE 100 and Germany 30
  • Trade more 24-hour indices than any other provider – 26 in total
  • Analyse and deal seamlessly on smart, fast charts

See opportunity on an index?

Don’t miss your chance. Log in to take advantage while conditions prevail.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
Bid
Offer
-
-
-
-
-
-
-
-
-
-
Bid
Offer
Bid
Offer
-
-
China 300
-
-

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Sunday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.


For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of spread betting and CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% 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.