FTSE 100, DAX and Dow Jones ease back after Powell boost
FTSE 100, DAX and Dow enjoy boost from Powell comments, yet US markets certainly look healthier as European markets continue to consolidate.
FTSE 100 showing signs of tentative strength despite early weakness
The FTSE 100 is starting to gradually regain ground, with the very slight creation of higher highs bringing hope that this morning’s weakness is going to be fleeting.
The downside seen through the Friday and Monday has largely given way to consolidation, yet with the price having broken through 7553 resistance, it looks likely that we will see the index turn higher once again from here. A break below 7514 would negate that bullish outlook.
DAX turning lower within consolidation phase
With the price turning lower again, there is a good chance we will continue this downtrend. However, it makes sense to await an hourly close below 12,354 to bring about a bearish continuation signal. Conversely, watch out for a break through 12,450 to signal the beginning of a bullish move for the DAX.
Dow treading water after Powell spike
The Dow Jones enjoyed a big spike yesterday after dovish comments from Powell.
That rally failed to overcome the prior high of 27,034, yet we are now clearly exhibiting higher highs and lows since respecting the 61.8% Fibonacci support level. That means we are likely to see another leg higher before long, with a break below 28,810 required to negate that short-term trend.
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
Live prices on most popular markets