FTSE 100, DAX and Dow rally into key resistance
FTSE 100, DAX and Dow rally towards key resistance following recent declines.
FTSE 100 rising into key resistance
The FTSE 100 has been staying afloat this week, with the index regaining ground after declining towards a critical level of support on Tuesday (7132).
We have since started to move back towards the 7259 resistance level, with today’s outlook largely dominated by the ability or inability to break through this level. Should that breakout occur, we would be looking at a likely rise into the 7325 Fibonacci level over the near term. However, should we fail to break 7259, then we are likely to continue this current consolidation phase for a move back down towards 7132.
DAX rebounds back into crucial resistance level
The DAX has managed to rebound sharply since the Tuesday lows of 12,884, with the index now trading marginally below the 13,185 peak established on Monday.
A break through that resistance level would bring about a more bullish theme, negating the creation of lower highs that have been in play over the past month. Thus, watch for whether we see 13,185 broken as a precursor to further upside.
Dow Jones consolidating after recent gains
The Dow Jones has failed to maintain the bullish momentum of last week, with the index largely trading lower since Monday’s peak of 28,036. Perhaps this is merely a pause before we mount another charge towards 28,201.
However, with the index having turned lower from around the 76.4% Fibonacci retracement level, it is worthwhile noting the possibility of a bearish turn from here. As such, watch for a break through either 28,036 (bullish), or 27,796 (bearish) to provide greater clarity on the short-term outlook for the Dow.
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.
Seize your opportunity
Deal on the world’s stock indices today.
- Trade on rising or falling markets
- Get one-point spreads on the FTSE 100
- Unrivalled 24-hour pricing
See opportunity on an index?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- 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 spreads from one point on the FTSE 100
- Trade more 24-hour indices than any other provider
- Analyse and deal seamlessly on smart, fast charts
See opportunity on an index?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
