Levels to watch: FTSE 100, DAX and S&P 500
Indices are struggling in the wake of the Fed, with the FTSE 100 in particular down heavily. Longer-term trends remain intact, but a period of weakness might be ahead.
FTSE 100 suffers rapid drop
The FTSE 100 has fallen sharply over the past 24 hours, shedding the gains made over the past month.
Further declines head towards 7260, and then on towards 7200. Crucially, yesterday’s drop took the index back below rising trendline support from the December lows. An overnight bounce has fizzled out around 7360, indicating that selling pressure remains in place. A turn higher targets 7400 and then on to 7460.
DAX still hovering below 12,400
This DAX was little affected by the sell-off, but it continues to be unable to break through 12,400.
Dips into the 12,250-12,300 support zone continue to find support, as we saw overnight, so a close below this is needed to ignite a bigger move to the downside. Above 12,400 the price heads towards 12,600 and then 12,954.
S&P 500 falls to trendline support
Yesterday’s drop took the S&P 500 back to the rising trendline from the March low at 2720.
For now this line is holding, so further gains target 2940 and then 2960. A move below 2910 would break the trendline and open the way to 2870 and 2850.
This information has been prepared by IG, a trading name of IG 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.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.
Seize your opportunity
Deal on the world’s stock indices today.
- Trade on rising or falling markets
- Get one-point spreads on the FTSE 100
- Unrivalled 24-hour pricing
See opportunity on an index?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on an index?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from one point on the FTSE 100
- Trade more 24-hour indices than any other provider
- Analyse and deal seamlessly on smart, fast charts
See opportunity on an index?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
