04.08.2014 - Technical view on stock indexes

The price of the futures on the American stock index S&P500 after reaching the support level around 1915 corrected upwards to 1930. The further growth within the correction is limited by a strong resistance near 1950, our medium-term outlook remains negative and we expect continued downward dynamics with the objectives of 1850 and 1780.

Nearest resistance levels: 1950, 1990, 2000

Nearest support levels: 1915, 1900, 1886, 1873, 1850, 1780

The price of the futures on the German stock index DAX30 continued to fall and reached another target 9190. Given the strong downward momentum of recent days, we can see the price drop to the next support level 9000 and 8915. In the medium term, the current negative trend is likely to continue.

Nearest resistance levels: 9190, 9400, 9600, 9800, 9870, 10030, 10500

Nearest support levels: 9000, 8915, 8600, 8000

The price of the futures on the Japanese stock index Nikkei225 continued to correct, and fell to the bottom of rising channel and is now consolidating around the mark of 15500. At the moment there is a high probability of an upward price rebound. In the near future, we may open a long position with a short stop below 15400 and the target near 15800. Medium-term outlook remains positive.

Nearest resistance levels: 15800, 16000

Nearest support levels: 15400, 15000, 14700, 14600, 14400, 14000, 13900

RISK WARNING: Trading of complex financial products, such as Stocks, Futures, Foreign Exchange ("Forex"), Contracts for Difference ("CFDs"), Indices, Options, or other financial derivatives, on "margin" carries a high level of risk, and may not be suitable for all investors. The possibility exists that you could sustain a loss of some or all of your initial investment and, therefore, you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading these markets, and seek advice from an independent financial advisor if you have any questions or doubts. Please carefully read our full "Risk Disclosure" and "Risk Disclosures for Financial Instruments & Investment Services". FXFINPRO Capital is the trading name of PFX Financial Professionals Limited, a limited liability company formed under the laws of Cyprus, registered with the Registrar of Companies in Nicosia, Cyprus, under nr. HE 237840 and regulated by the Cyprus Securities and Exchange Commission with license number 193/13.