CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Levels to watch: FTSE 100, DAX and Dow

The Dow is starting to come back, with recent bullish reversal signals pointing towards a possible resurgence. Meanwhile, in Europe, the FTSE 100 continues to climb and the DAX asks questions amid a break below trendline support.

anonymous

Publication date : 2018-05-22T09:39:29+0100

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FTSE 100 heading to new highs once more

The FTSE 100 is heading higher once again this morning, following on from last night’s gradual pullback.

The recent uptrend is very clearly defined, and as such, further upside looks likely from here. As long as the price remains above the 7747 mark, a bullish outlook remains in play, with further gains likely from here.

FTSE 100 price chart

FTSE 100 price chart

FTSE 100 price chart

DAX early gains fading at the open

The DAX is selling off sharply in early trade, with the index coming under pressure after recent upside. The current break below an ascending trendline support highlights the possibility of a bearish short-term shift.

However, the key is whether we see the price break below the near-term swing low of 13,050 support. Should we see an hourly close below that, there is a chance we will see a more bearish phase play out. Until then, the uptrend does still remain intact, albeit with a break below trendline support. As such, a bullish outlook remains in place unless we break below 13,050.

DAX price chart

DAX price chart

DAX price chart

Dow hits two-month high

Yesterday saw the Dow Jones manage to break through the high from last week, with the news of easing tensions between the US and China helping aid a more bullish outlook.

That looks likely to continue now that we have seemingly ended the retracement period evident in the wake of the break above 24,860. With the wider outlook providing a bullish signal that we have seen the index bottom out, there is a strong likeliness that we are going to see further gains come into play from here. As long as we keep above 24,628, a bullish outlook remains.

Dow Jones price chart

Dow Jones price chart

Dow Jones price chart

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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.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. Clients can lose more than they deposit. All trading involves risk.

IG is a trading name of IG Markets Ltd and IG Markets South Africa Limited. 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 order to utilise their foreign investment allowance should the South African resident wish to open an offshore account with IG Markets Limited.

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