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Levels to watch: FTSE 100, DAX and Dow

After yesterday's sell-off, normal service has been resumed, with indices back at the highs.

Chris Beauchamp ChrisB_IG
Chief Market Analyst, London

Publication date : 2017-10-20T09:40:49+0100

Trader

Source: Bloomberg

FTSE 100 back at resistance

FTSE 100 is back to the 7550 area that has held back progress so far this month. A push from here leaves the index with only the 7600 level to look out for, before fresh all-time highs.

As we saw yesterday, there seems plenty of buying pressure ready to step in at the slightest dip, with the 7480-7500 zone likely to see strong support.

FTSE 100 chart

FTSE 100 chart

FTSE 100 chart

DAX storms back to 13,000

The dip for DAX to 12,900 was seized upon as a buying opportunity, with the price recovering and heading back to 13,000 and higher.

So long as 12,907 holds, we should expect further upside. Below 12,907 and then 12,881, the 12,678 level comes into play.

DAX chart

DAX chart

DAX chart

Dow shrugs off the dip

Yesterday’s price action showed that the Dow Jones still has little desire to move lower. A test of 23,000 brought out the buyers, and was followed by a move to new highs.

The uptrend remains firmly intact, with a move below 23,000 potentially signaling more short-term weakness.

Dow Jones chart

Dow Jones chart

Dow Jones chart

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