29.01.2015 - Technical view on stock indexes

The price of the futures on the American stock index S&P500 accelerated decline after breaking through the support level at 2025. Currently quotes are consolidated near the level of 2000. In case of consolidation below this mark, the decline will continue until the level of 1975. The increase is limited by resistance levels at 2025, 2070 and 2090. Fixing the price below 1975 will be a signal of changing the medium-term uptrend and will lead to falling to 1950, 1915 and 1860. We expect increased volatility tomorrow and recommend to wait for a confirmation of the signal to open new positions.

Nearest resistance levels: 2025, 2070, 2090, 2100, 2150, 2200

Nearest support levels: 1975, 1950, 1915, 1900, 1886, 1860, 1820

The price of the futures on the German stock index DAX30 stabilized above 10600 after it failed to overcome the resistance level at 10800. For continued growth, is necessary to break the price level of 10800. In such case, the price will be able to reach the target levels of 11200 and 11500 in case of breaking and fixing the price below the lower boundary of the rising channel, the price is expected to fall to 10300 and 10000. Our medium-term outlook remains positive.

Nearest resistance levels: 10800, 11000, 11200, 11500, 12000

Nearest support levels: 10600, 10300, 10100, 10000, 9600, 9400, 9190, 9000, 8800, 8600

The price of the futures on the Japanese stock index Nikkei225 fixed above the level of 17550. At the moment, quotes continue to move along the sloping support line. According to our estimates the price will continue to rise in the near future with the first targets at 17800 and 18000. At the same time, fixing the price below the level of 17550 will become the signal for the resumption of a downward movement with the objectives at 17200 and 16550. We maintain our medium-term positive outlook and recommend holding long positions with a stop below 17200.

Nearest resistance levels: 18000, 18600, 19000

Nearest support levels: 17550, 17200, 16600, 16400, 16000, 15800, 15450, 15200

Moving Average Analysis

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.