CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

Levels to watch: FTSE, DAX and Dow

Despite the political turmoil, the stock markets are pushing higher once more.

IG Analyst

Publication date : 2017-06-09T09:09:33+0100

German Stock Exchange trader

Source: Bloomberg

FTSE rallying towards key resistance level

The FTSE is pushing higher this morning, as a sharp deterioration in the pound provides a boost for internationally based stocks. Crucially, we are seeing the price move closer to the key 7555 resistance level, which, if broken, would point towards a continuation of this resurgence. The long upper shadow on the current candle could provide a warning sign that this ascent could falter.

Until we see the 7555 level broken, there is a risk that we will see this market turn lower in line with the recent trend.

FTSE chart

FTSE chart

FTSE chart

DAX heading towards month highs

The DAX is punching higher following from a base formed throughout the week. This points towards a continuation of the recent uptrend, with a break through 12,881 resistance.

A break back below 12,638 would negate this bullish view.

DAX chart

DAX chart

DAX chart

Dow begins to move higher

The Dow Jones is gradually moving higher following the recent retracement into the 50-day simple moving average (SMA). Near term resistance of 21,230 and 21,269 provides us with an area of resistance which I broken would signal a continuation of the recent uptrend.

Watch out for a break below 20,936 to signal a reversal of this, with a bullish outlook in play until that happens.

Dow Jones chart

Dow Jones chart

Dow Jones chart

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