24.07.2014 - Technical view on stock indexes
The price of the futures on the American stock index S&P500 reached historical highs and now is trying to consolidate above 1985. The further growth is limited by psychological resistance level 2000. We expect that growth will stop soon and after consolidation will start significant correction with the first goal around 1950. Medium-term outlook remains negative.
Nearest resistance levels: 2000
Nearest support levels: 1985, 1965, 1950, 1930, 1915, 1900, 1886, 1873
The price of the futures on the German stock index DAX30 after a strong growth has reached the upper boundary of the descending channel and a strong the level of 9800. In case of continued growth, a buy signal will become fixing the price above 9870, but even in this case, the growth potential is limited by the level of 10050. We expect the resumption of the downward price movement within the downward channel and recommend to open short positions with the target about 9400 and a stop above 9870. Medium-term outlook remains negative.
Nearest resistance levels: 9800, 9870, 10030, 10500
Nearest support levels: 9635, 9400, 9190, 8915
The price of the futures on the Japanese stock index Nikkei225 reached the top of the channel and the level of 9800, but then began to correct down and will likely continue downward movement within the local downward channel with the objectives of 9635 and 9400. In case of growth, the price may reach the levels of 9870 and 10000. We maintain a medium-term negative outlook.
Nearest resistance levels: 15500, 15800
Nearest support levels: 15000, 14700, 14600, 14400, 14000, 13900