FTSE 100 and DAX break key resistance as market surge continues
The FTSE 100, DAX and Dow continue to gain ground, with breakouts in European markets providing confidence of further upside.
FTSE 100 punches through resistance to continue uptrend
The FTSE 100 has managed to continue its surge this week, with the price breaking through the crucial 7371 resistance level. That was required as a precursor to further upside, and thus we are looking for further gains from here.
The swing low of 7359 lies below that breakout level, and it therefore makes sense to stay bullish as long as the price remains above that point. Look out for a break through 7435 as the next point of resistance.
DAX breaking higher from wedge pattern
The DAX has continued its uptrend this morning, with the index rising despite the bearish wedge pattern that formed since Wednesday. The break through the 12,124 swing high, 76.4% Fibonacci retracement, and descending trendline all adds up to an environment where the index looks set for further upside to come.
As such, look for the index to continue this current trend, with a break below 12,052 required to negate this current short-term bullish trend.
Dow rallies into trendline and Fibonacci resistance
June has been a favourable month for the Dow Jones, with the index driving higher off the back of a disappointing May. That run has taken us into a crucial zone of resistance, with the 26,213 Fibonacci resistance level meeting an ascending inside trendline.
A break through that zone of resistance would signal the beginning of a push towards the prior highs of 26,710, yet it makes sense to watch for the reaction at this level before taking on any further longs.
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