14.10.2014 - Technical view on stock indexes

The price of the futures on the American stock index S&P500 after fixing below the level of 1915 continued to decline and reached the next target level of 1873. At the moment quotes decline within the descending channel and will probably continue the current trend. Growth is limited by the levels of 1915 and 1940. We recommend holding short positions and to set a stop above 1950. Our medium-term outlook will remain negative with the target around 1780.

Nearest resistance levels: 1886, 1900, 1915, 1940, 1950, 1980, 2000, 2010, 2020, 2050

Nearest support levels 1873, 1850, 1820, 1780

The price of the futures on the German stock index DAX30 after fixing the price below 8900 keeps consolidating near the level of 8750. According to our estimates quotes will continue to decline within the descending channel. Change of the trend is possible in case of breaking the upper boundary of the channel and overcoming the level of 9200. We recommend holding short positions with a stop above 9200 and targets at 8600 and 8000. Our medium-term outlook remains negative.

Nearest resistance levels: 8900, 9000, 9190, 9400, 9600, 9800, 9870, 10030

Nearest support levels: 8600, 8000

The price of the futures on the Japanese stock index Nikkei225 reached another target level of 14800 and is consolidating above this mark. Further fall is limited by the lower limit of the downward channel. Taking into account the strong price decline without correction and strong levels of support in the near future we may see price consolidation near current levels and a minor correction. Despite this our medium-term outlook remains negative and we expect a decline in price to 14000.

Nearest resistance levels: 15000, 15200, 15450, 15650, 15800, 16000, 16100, 16500, 17000

Nearest support levels: 14800, 14500, 14000, 13400

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