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Levels to watch: FTSE, DAX and S&P 500

A record high for the FTSE 100 reminds everyone that the rally has not finished yet, while US markets are looking to continue their gains from late Friday. 

German stock exchange
Source: Bloomberg

FTSE 100 going up and up

The week has started with the FTSE moving to a new all-time high, pushing above the high set in March. Over the past week we have seen shallow retracements, so any pullback may only go as far as 7400 before moving higher once more.

It would take a move below 7360 to even suggest a more bearish outlook here.

DAX protected by a solid support zone

Early gains attempted to push on to the high from 5 May at 12,850, but as long as this holds the possibility of a return to 12,400 cannot be ruled out.

However, we have plenty of intraday support on the way down at 12,660 and then at 12,517. As noted before, the DAX would have to close below 11,893 to suggest the creation of a new lower low.

S&P 500 needs to confirm all-time high

A recovery late on Friday saw the S&P 500 hold above 2385, but bulls still need a close above 2403 to confirm a new all-time high.

The region around 2400 has held back progress since the beginning of March so buyers have a tough job ahead of them. Potential support in the event of any turn lower remains at 2370 and then 2321. 

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