FTSE 100, DAX and S&P 500 struggle to continue their rallies
Gains have stalled in indices, as some of the bullishness from earlier in the week is replaced with caution.
FTSE 100 bounce runs out of steam
The bounce from Thursday’s lows has stalled, with the FTSE 100 price falling back yesterday.
If it can hold 5920 then a move higher may resume, targeting 6140 and then 6200, the peak from the end of April. Having twice held 5650 this month, sellers will need to drive the index below this level to ensure a bigger drawdown develops.
DAX drops back from 11,200
For the DAX as well, the rally has run into resistance as it has fallen back from 11,200.
While much of the bounce since last Thursday is still intact, a reversal below 10,900 could signal a push back towards 10,500 or even 10,200. A more bullish view prevails if the price can clear 11,200 and then clear 11,300 and the highs from late April.
S&P 500 remains in month-long range
Having rallied to 2980, the S&P 500 price has fallen back, leaving the trading range of the past month broadly intact.
Further declines bring 2760 into view, the lower bound of the current range. Meanwhile, a move above 2980 would break the range and open the path to more gains.
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