September 2014

FTSE100: Sellers in control

UK equities are still under pressure in the wake of the Scottish referendum’s ‘No’ vote, according to Ron William of RW Advisory. In an interview with IG Index TV, William discusses the technical background for FTSE and GBPUSD and explains how next year’s general election and the prospect of an EU ‘In/Out’ referendum are weighing down on the UK.

Buying opportunities from falls in S&P

Sentiment and breadth measures suggest the short-term outlook for the S&P is negative presenting good buying opportunities, says Ari Wald at Oppenheimer. The longer-term outlook remains bullish however but buying signals include a fall in the % of S&P1550 stocks above their 200-day MA falling below 40%.

Nasdaq vs. 200 DMA bearish signal

Negative divergence between the Nasdaq and the % distance from its 200-day moving average is replicating the pattern seen in 2007 before 25% fall in the index, says Riccardo Ronco at Aviate Global. 4300 remains the key support level for the Nasdaq in the face of falling market breadth.