08.10.2014 - Technical view on stock indexes

The price of the futures on the American stock index S&P500 accelerated the decline and has broken through the support level of 1940 and is trying to gain a foothold below this mark. Increase in price is limited by a strong resistance level at 1980, we expect a further drop in prices and recommend holding short positions. The medium-term outlook remains negative with the target near 1780.

Nearest resistance levels: 1940, 1950, 1980, 2000, 2010, 2020, 2050

Nearest support levels: 1915, 1900, 1886, 1873

The price of the futures on the German stock index DAX30 continued to decline in the descending channel and reached another target 9000. This level is psychologically important and after breaking through and consolidation below this mark, we expect the price to fall to 8600. In case of correction, quotes, can grow up to 9190 and the upper limit of the channel. We recommend holding short positions and maintain a medium-term negative outlook.

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

Nearest support levels: 9000, 8900, 8600, 8000

The price of the futures on the Japanese stock index Nikkei225 fell to 15500, but could not overcome it and now are correcting upwards. The growth of quotations is limited by the level of 16000 and the inclined resistance line. We expect further price decline in the medium term. Target levels with a further reduction will be 15200 and 14800.

Nearest resistance levels: 15650, 15800, 16000, 16100, 16500, 17000

Nearest support levels: 15500, 15350, 15200, 15000, 14800

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.