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

US markets move ever upwards, while in Europe the DAX is looking to make a firm push above 12,000.

DAX
Source: Bloomberg

FTSE 100 getting ready for another run higher?

The index has been stuck in consolidation mode for over a week, with a push towards 7320 fizzling out, but no sign of a real move lower.

The price has drifted through the rising trendline that held from 2-21 February, but support at 7260 is still to be tested. If the price can move back above 7300, it may be that a run to 7320 and higher is in the offing. 

DAX pushing up

Having stumbled yesterday the index is now looking to move above 12,000 and push on to 12,048. The next area to watch would be 12,108 if gains continue. For this index, the uptrend line now lies below 11,850, so we could see a significant unwind here, and still be in a technical uptrend.

At present risk-reward seems skewed intraday to the downside, but a dip to 11,900 or even lower could provide an attractive entry point for longs. 

S&P 500 still moving higher

US markets continue their glide-path higher. The S&P 500 has yet to push beyond Tuesday’s peak at 2367, but the direction of travel remains firmly higher.

We would need to see a move below 2340 to suggest the rally has run its course. Short-term support lies at 2356, and then at 2351, as the steady progression of higher highs and higher lows continues. 

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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.