FTSEDayTrader Limited

With the US trading yesterday there was a bit of movement in the FTSE 100 Futures, and the 6670 area looks like a key short term resistance, with 6681 above. For today, I am expecting a small rise before a dip to the pivot then a climb to bigger resistance at 6700/6710.

Fairly quiet really over the 4 days from a "news that will affect" the FTSE 100 perspective. This week sees some big hitters releasing their results in the US - Apple Inc (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT)amongst others.

Tomorrow sees the BOE release the latest minutes, as well. The press do seem to be bigging things up at the moment - usually a sign that bad news is just around the corner. The CEBR is forecasting continued global growth over the next two years, and said the economic backdrop for UK exports would likely become more supportive than at any time in the past eight years.

FTSE Outlook

The 2 key levels I am watching today are 6610/6600 and 6670/6681. If we get some volatility today I am expecting those areas to be hit and for a dip and rise scenario today.

We have a decent 30 minute channel in play, but it can sometimes be a bit tricky after bank holidays, especially with two of them back to back. The lower range is the bottom of that channel and also the daily pivot area (6603) and the upper area is the level hit yesterday out of hours.

If that does break then 6700 is the top of the Bianca 10 day. Things do look fairly positive for a bit pif bullishness for the moment, off the back of Thursdays rise last week.

Daily Raff Channels

Bianca Trends

Gold

That rally in Gold hasn't lasted long and it's now back below 1300, and looks to be heading to 1272, which is the bottom of that 30 minute channel as can be seen below.

Resistance is 1297 so those would be the 2 areas worthy of trading off today, one short, one long. I think 1283 is pretty likely to get hit today which is the hourly ProReal line on the chart below.

S&P

As mentioned above, there are some big results out this week which will affect the S&P 500. For today it has staged a great recovery from those lows the other day at 1810, and is nearing the top of the 20 day Raff channel (green one) at 1886.

Just above that, we have a rising daily PRT channel with resistance at around 1898. Initially today the bulls will need to break 1872 to then target those longer time frame levels.

Bears will be trying to break 1863 where there is PRT support on the 30 minute chart - a lot will depend on company results but a long at that area could be fruitful. There is some big M&A activity going on at the moment as well with AstraZeneca/Pfizer and Novartis buying GSK's oncology unit for $16bn. Massive IPOs and increased M&A activity are often associated with market tops.

DAX

The DAX is also nearing there top of the 20 day Raff at around 9600 so it is likely to hit this week of the bullishness. For today, the daily pivot is 9368 so that should act as support for any dips if it did get that far, whilst 9490 is resistance, and the top of the 30 minute channel at 9505.

Today's range could well be 9400 to 9505, which is the 30 minute channel, so trading the DAX at those levels looks viable for a long and a short. Bigger picture trend is, however, still up.