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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Levels to watch: FTSE 100, DAX and S&P 500

While indices have started the week with a small dip, some buying pressure is already being seen.

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FTSE 100 at key breakout point

The FTSE 100 continues to be constrained by trendline resistance from the high in late August, with gains unable to hold above 7300.

Further losses bring near-term support at 7250 and 7220 into view, while a break above 7340 is needed to suggest that the bulls have wrested control.

FTSE 100 chart

DAX dips after recent gains

The DAX has bounced strongly over the past week, but the rally is seeing some weakness this morning.

Any dip that holds above 11,960 would likely be another buying opportunity, targeting the highs of last week at around 12,100, before heading to resistance at 12,160. Above here, 12,400 comes into play. A move below 11,960 suggests a deeper move back towards last week’s lows at 11,866.

DAX chart

S&P 500 starts the week on the back foot

A gap lower overnight brings the S&P 500 back to the lows of Friday’s session, around 2900.

A drop from here brings 2880 and then 2865 into view in the short term. Further gains would head back to 2910 and the highs from last week, before moving on to the all-time high at 2916.

S&P 500 chart

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This information has been prepared by IG, a trading name of IG Markets Limited and IG Markets South Africa Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. International accounts are offered by IG Markets Limited in the UK (FCA Number 195355), a juristic representative of IG Markets South Africa Limited (FSP No 41393). South African residents are required to obtain the necessary tax clearance certificates in line with their foreign investment allowance and may not use credit or debit cards to fund their international account.