Taken from www.charmercharts.com

FTSE:

FTSE had exactly the same range as yesterday so we do not have a lot to report. Overall outlook remains
the same and we look to see what side prevails. However, as you can see above, the trend line is creeping up and offers support at the past two days lows around 5825/26.

We have some support just below at 5863 and then at 5846. Today the trend line comes in at 5825/226 as we mentioned and this comes in just above the fib level at 5820/16 as. Below here and we may see sellers come back in. Support below here we have short term fib support at 5798/96 and then October and January highs at 5766/63 then med term fib support at 5737. Further short term support is found at 5710/08 before longer term fib support at 5688. We then have medium term 38% fib at 5650 before last weeks lows at 5611.

Resistance is at the highs at 5878. We have another trend line just above here at 5886/87. If we get above here look to 5913 before 5931/36 and we also have the long term trend line going back to July 09 coming in 5947 today, so this area should be tough to get through first time round. Above here 5976/83 and then 6049

DAX:

Dax edged higher once again but only as far as 6849, short of the 6860 target. The market is struggling to hold a break above a 2 year long trend line at 6790 this week. With the market severely overbought now in all time frames there is a risk that we have seen the top of this one month rally so exercise caution if long.

We are looking for this market to retreat back to 6746/37 initially and then 6685. A break back below 6670 then targets 6639/32. If this does not hold the downside look for 6581 to cover all shorts and attempt longs down to 6560.

Bulls will have to push through 6860 now to negate building downside pressures and then test the trend line above at 6896. Once through 6914 we then see the market continuing higher to 6947 where it would be wise to take profits on all long positions.

Eurostoxx:

Eurostoxx failed to break 2540/44. This market is showing signs of running out of steam for this week as we held on to the 2511/09 support but be wary of a sell off today.

A move back below 2525/21 is possible and should see 2509/06. Watch for a move below here to target 2489/86. Failure here then sees us testing support at 2469/68. If this does not hold the downside look for a buying opportunity at 2454 which is expected to hold the downside at this stage.

If 2540/44 does not hold us back today look for 2553 as the next target. A break above here then sees 2569 with 2608 in our sights as a potential target later in the week or next week. Longer term big targets to bear in mind are 2633 and 2669.