Article by IG Chief Market Analyst Chris BeauchampFTSE 100, DAX 40, S&P 500 Analysis and ChartsFTSE 100 in bullish short-term formThe rally o
Article by IG Chief Market Analyst Chris Beauchamp
FTSE 100, DAX 40, S&P 500 Analysis and Charts
FTSE 100 in bullish short-term form
The rally off the 7300 continued on Thursday, with impressive gains for the index that have resulted in a move back through 7400. This now leaves the index on the cusp of a bullish MACD crossover, and could now see the price on course to test the 200-day SMA, and then on to 7700.
A reversal back below 7320 would negate this view.
FTSE 100 Daily Chart
| Change in | Longs | Shorts | OI |
| Daily | -7% | 1% | -4% |
| Weekly | -12% | 21% | -3% |
Dax 40 at two-week high
The index made big gains for a second consecutive day, and with a fresh bullish MACD crossover the buyers appear to be firmly in charge.The next stop is trendline resistance from the August record high, and then on the declining 50-day SMA, which the index has not challenged since early September.
A failure to break trendline resistance might dent the bullish view, though a close below 15,000 would be needed to give a firmer bearish outlook. This would then put the lows of October back into view.
DAX 40 Daily Chart
S&P 500 in strong form ahead of non-farm payrolls
The index has recouped a significant amount of the losses suffered in October, and like the Dax is now barrelling towards trendline resistance and then the 50-day SMA.Beyond these lies the 4392 peak from early October, and a close above here would solidify the bullish view.
A reversal back below the 200-day SMA would signal that the sellers have reasserted control and that a move back towards 4100 could be underway.
S&P 500 Daily Chart
Recommended by IG
Get Your Free Equities Forecast
element inside the
element. This is probably not what you meant to do!Load your application’s JavaScript bundle inside the element instead.
www.dailyfx.com
COMMENTS