FTSE 100 and DAX edge up while S&P 500 holds steady
Indices have continued to rise, although some caution persists ahead of key earnings and today’s Fed meeting.
FTSE 100 clears 5900
The climb goes on for the FTSE 100, with the index pushing through 5900, building on the uptrend of the past three weeks.
Further gains target 6230, the bottom end of the March gap down, while beyond this 6400 is the next target. Alternatively, we need to see a reversal back below 5800, which would break the rising trend seen since 15 April. For the time being, however, momentum remains on the side of the buyers.
DAX still in an uptrend
Yesterday saw the DAX price clear the 17 April high around 10,770, and then create a new higher high near 10,900.
Today has seen the price open above the 50-day simple moving average (SMA) for the first time since the second half of February. Further gains head towards the March gap down, around 11,300, and if this is broken then the 200-day SMA at 12,223 is the next indicator to watch. As earlier in the week, a complete bearish reversal requires a move below 10,200.
S&P 500 back at March gap down zone
Having moved so quickly to the March gap down area around 2900, it is not surprising that the S&P 500 price is showing some signs of caution.
A late pullback yesterday was followed up by an overnight bounce, but this is fading for now, and could see a bigger retracement if the price drops below 2850. Further declines head towards 2750. Alternatively, a renewed push higher targets the 200-day SMA (currently 2993).
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