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Levels to watch: FTSE 100, DAX and S&P 500

Further weakness across indices continues to see them retreat from all-time highs, but there is plenty of support in case of a broader sell-off. 

German stock exchange
Source: Bloomberg

FTSE 100 takes a bearish turn

Dips for the FTSE 100 in the direction of 7450 have continued to bring out buyers, but the overnight bounce is fizzling out below 7500, which is a short-term bearish sign.

A dip below 7450 would be the catalyst for more selling, with 7409 and 7363 coming into view. Any recovery back above 7500 brings 7550 back into play.

DAX attempts recovery from oversold position

DAX has fallen outside of the upward channel that has been extant since the August low. It found support near 13,100, so we will see if the index can recover from its oversold intraday position.

A move below 13,100 will target 12,954, and then the 50-day simple moving average (SMA) at 12,871. A move above 13,227 would suggest a resumption of the rally.

S&P 500 starts to turn lower

The S&P 500 avoided a close of 0.5% or worse yesterday, continuing its strong run, but futures are turning lower.

The sell-offs earlier in November found support around 2565, so this could be where buyers step in once more. Below this, 2553 and 2544 come into play. A move above 2583 would then bring 2588, and 2597 into view.

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This information has been prepared by IG, a trading name of IG Markets Limited and IG Markets South Africa 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. International accounts are offered by IG Markets Limited in the UK (FCA Number 195355), a juristic representative of IG Markets South Africa Limited (FSP No 41393). South African residents are required to obtain the necessary tax clearance certificates in line with their foreign investment allowance and may not use credit or debit cards to fund their international account.