For today I am thinking that the bulls will challenge for the 7400 level and be keen to break above this. The Dax has managed to push above 12k again, and with 7300 holding yesterday the bulls have a bit of momentum behind them. We are still in that range between 7300 and 7550 so may well see the upper target around there later this week or early next.
There is a small dividend today of 1.2 so unlikely to see a rush of buyers before the bell to collect that.
As mentioned above, initially there is resistance at 7376 and 7393 which may well hold initially as longs from 7300 are cashed in for a decent gain. On the 30min chart there is support from both the pivot and the coral trend line at the 7340 area so a long here is worth a go. If this level holds then we might well see a rise up towards 7400 this afternoon. If the US builds on yesterdays gains also, then we may well see a break of this level this afternoon.
The daily chart is still bearish, with resistance at 7391 and 7424, though the 10 day Raff channel has turned up now, which could well tie in with a rise towards 7550.
On the flip side, if the bears take it back down again (and they do seem to need a "crisis" of some sort to make it drop, and then it's only short-lived anyway) a break of the 7290 level will likely lead down to 7150.
Generally though I am feeling more positive for the FTSE 100 and expect us to push higher over the next few weeks. So, watching 7340 for support today, and 7424 as the upper resistance area.
