News & Analysis
Eightcap CFD technical insights 30/11/17
Mixed picture for indices at the moment, fresh records and breaks out for the UDS30 and SPX500 while the UK100 and AUS200 have lagged. Tax reform broke the deadlock for US shares this week. The Senate Budget Committee approved the Senate’s tax plan bringing the upper chamber closer to a floor vote, which is expected to take place Thursday U.S time. Overnight U.S GDP added to the underlying support meeting growth estimates of 3%.
US30 – traded in a consolidation pattern until Tuesday, when the market broke out strongly to positive tax reform news. Looking at the current breakout we would like to see a new pull back stay above 23,595. Preferably staying above 23,700 so we don’t have overlap and the trend continues to show strength. Overlap into swing highs or lows can indicate lower demand.
UK100 – Brexit continues, an exit figure of 50 billion emerged yesterday, Theresa May has denied agreeing to this sum. Uncertainty is clear on the UK100 as it has failed to follow positive U.S leads this week. As with other European indices, price has broken its uptrend forming consolidation that’s been strongly defended for the last 10 sessions. Sellers look to be at their best position yet force a break out as the price has broken key level and is looking to test final lows. Is a downtrend starting to confirm here?
Good Trading from Eightcap.
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