The FTSE 100 has reached a three-month high, surpassing its previous peak of 8,404 from August. The next target is the May high at 8,479. Minor support is observed around the mid-August high of 8,374, with medium-term upward momentum likely to continue as long as last week’s low of 8,240 holds. Just below that, the 55-day simple moving average (SMA) at 8,234 offers additional support.
Meanwhile, the DAX 40 has experienced a strong rally from its early August low of 17,021, pushing past the peaks from May to July, which ranged between 18,782 and 18,935. This surge has led to a new record high of 18,971. If the index rises further, the 19,000 mark is within reach, with the significant psychological level of 20,000 beyond that. The previous peak of 18,782 from July now likely serves as support due to the principle of inverse polarity.
The Dow Jones Industrial Average has also seen a significant rally, achieving a record high of 41,587 on Thursday. If the index surpasses this level, the next target zone could be around 42,000. Support levels are identified between the August support line and the highs from mid- to late July, ranging from 41,382 to 41,165. As long as Tuesday’s low of 40,833 holds, the immediate upward momentum should continue.
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