26.05.2014 - Technical view on stock indexes
Price of the futures on the broad U.S. stock index S&P500 has reached historic highs around 1900. To continue the growth, the price needs to gain a foothold above this level. In case of correction the price may drop to the strong level of 1886. We maintain a long-term negative outlook on futures and expect the index decrease in the near future.
Nearest resistance levels: 1920, 1950, 2000
Nearest support levels: 1886, 1873, 1860, 1813
Price of the futures on German index DAX30 continued the upward movement and now is consolidating around the strong level of 9800. To grow further, with the target nearly 10,000, the price needs to gain a foothold above this level. In the case of reduction, a signal to sell will be fixing price below 9650. We maintain a long-term negative outlook on the futures.
Nearest resistance levels: 9900, 10000
Nearest support levels: 9700, 9630, 9400, 9200
The price of futures on Japanese index Nikkei225 has broken through the upper limit of the downward channel and fixed above the level of 14,500. Now the price is trying to overcome the strong resistance at 14600. In case of success, we recommend to open long positions with the target near 15,000. Within correction, the price may fall to 14,400. We maintain a long-term negative outlook on the futures.
Nearest resistance levels: 14600, 15000
Nearest support levels: 14500, 14400, 14000, 13900