For a continued move higher we must now see the ASX hold above 6010 followed by a retest of 6070. Should this occur a strong break and close above 6070 may result in continued upside into 6140. A strong break above this level could see a strong move into 6206 by the week’s end.

If the ASX cannot hold above 6010, we will look for a move back down to 5985. A strong break and close below this level could see the ASX retest 5921, and if downside momentum is strong we could quickly see a further move all the way back down into 5875.

EUROPE

DAX – 12791 (+40 or +0.31%)

The DAX spent the majority of last week in a volatile sideways range and the question is now do we go higher or lower from here?

VOLATILITY ALERTS:

Tue 19:00 – German ZEW Economic Sentiment
Thu 21:45 – ECB Interest Rate Announcement
Thu 22:30 – ECB Press Conference

For a continued move to the upside we must now see the DAX close above 12921 followed by a retest of 13050. Should this occur we will look for a strong move into 13205, and if momentum remains strong a push back higher into 13301.

If the DAX fails to close above 12921, we may see a retest back down into the key level of 12714. A close below this level is likely to see a retest of 12600 and 12566; however if momentum is very strong to the downside we cannot rule out a strong move to 12384.

US

SP500 – 2778 (+43 or +1.57)

The S&P rallied into one of our key levels at 2778 and struggled to break above this level. Can we break higher this week?

VOLATILITY ALERTS:
Tue 22:30 – CPI (monthly)
Wed 22:30 – PPI (monthly)
Thu 04:00 – FED Interest Rate
Thu 04:00 – FOMC Press Conference
Sat 00:00 – Prelim UoM Consumer Sentiment

For a move higher we would like to see the S&P close and hold above 2760. Should this occur we will look for a retest of the key 2785 level. A strong break and close above this level could see another retest of 2802 and 2808, and if momentum remains strong to the upside we cannot rule out a move to 2836.

If we cannot hold above 2760, we could see this market continue to sell-off into 2736 before a pause. If momentum to the downside is strong we may see a move lower into 2704; and a close below this level may result in a move down to 2680 and 2660.

Author

Trade View Team

Trade View

Our team of professional Prop Traders specialise in trading Equities, Futures, Options, FX and Money Markets across multiple exchanges across the globe. The majority of Trade View traders have come through our development programs

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