FTSE100

FTSE eases from fresh all-time high at 7262 (former target, FE 123.6% of wave C from 6869) posted yesterday, driven by strong bounce of Sterling and strongly overbought daily studies.
Pullback was so far held at 7200 zone and just above yesterday’s low at 7190, however, downside risk is rising as daily Slow Stochastic emerged from overbought zone and daily RSI is turning south.
Overall structure remains bullish and sees correction preceding fresh attempts higher.
Ascending daily Tenkan-sen that tracks the latest bull-leg since early Dec offers solid support at 7143, ahead of 7111 (Fibo 38.2% of 6867/7262 upleg) where extended dips should be ideally contained.
Conversely, sustained break below the latter would generate bearish signal for deeper correction that may extend towards 7018 (Fibo 61.8%) and psychological 7000 support.

Res: 7239; 7262; 7307; 7381
Sup: 7190; 7158; 7143; 7111

DAX

Dax shows no significant changes compared to previous sessions, as the price remains within narrow consolidation above higher base at 11520, reinforced by daily Tenkan-sen line, after yesterday’s probe above strong barriers at 11648/11671 (03 Jan high/06 Aug 2015 peak) was short-lived.
However, daily technicals remain in firm bullish setup and see scope for fresh upside attempts, with sustained break above 11700 needed to open next target at 11804 (20 July 2015 peak).
Caution on daily RSI that is emerging from overbought territory that may trigger fresh easing below 11520 and risk retest of next pivot at 11400.

Res: 11623; 11648; 11671; 11691
Sup: 11561; 11546; 11520; 11502

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