17.10.2016 - Technical view on stock indexes

The price of the futures on the American stock index S&P500 after the recent rebound to the level of 2150, has resumed falling and is currently located around the level of 2130. In order to continue negative dynamics, the price needs to overcome the support at 2120. It should be recalled that fixation lower than 2150 was a confirmation of the signal to sell with the targets at 2040 and 2000. Our medium-term outlook remains negative and we expect a decrease in the near future.

Nearest resistance levels: 2150, 2195, 2200, 2250

Nearest support levels: 2120, 2040, 2000, 1950, 1940, 1915, 1900, 1886, 1873

The price of the futures on the German stock index DAX30 was not able to continue the strong ascending impulse and as a result returned to an important level of 10500. In case of continued rising dynamics, quotations may reach the level of 10800. A more likely scenario, according to our estimates, will be overcoming of support at 10300 and further reduction with targets at 9800 and 9300. Our medium-term outlook remains negative and we expect a decrease in the near future.

Nearest resistance levels: 10500, 10800, 11200, 11600

Nearest support levels: 10300, 9800, 9600, 9300, 9190, 9000, 8900, 8600, 8000

The price of the futures on the Japanese stock index Nikkei225 rebounded from the inclined support line and again approached the psychologically important level of 16800. In case of a further increase, growth will continue to 17250 and 17500. On the other hand the closest targets during further reduction will be 16550 and 16300, the overcoming of which will be the basis for the continuation of negative dynamics of price with the objectives at 15850 and 15400.

Nearest resistance levels: 16800, 17000, 17250, 17600, 18000

Nearest support levels: 16500, 16300, 16000, 15850, 15650, 15500, 15350, 15200

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.