Overnight Moves

Today, we looked at 8 charts; below are only some of them, but first let’s have a look at what happened overnight. We are seeing green today, particularly in commodities, as the metals climb back, with silver being our top performer, followed by Palladium. News regarding the negotiations between Iran and the U.S. seems to be positive, but there is nothing concrete as of yet.

S&P500 Index

Looking at the S&P500 futures, we saw a bounce yesterday that played nicely between our levels of 6,810 and 6,880. We have since passed 6,880, and so our next level is 6,930. We have not seen any news in particular for the bounce, but we believe it relates to the news regarding the geopolitical tensions between the United States and Iran. Today, we need to see if we can maintain this upward momentum.

iShares Expanded Tech Software (IGV)

For the last couple of days, we have been watching this chart as it’s moved sideways, and we know some of our clients like the setup it’s providing, so this is one to watch today. We see support at $79, and if we break above $84, we could then retest the high of $86. If we get positive news, we could see this going higher, but if we continue downwards, then the next support will be at $76. If you can get in at around $81.50, we would then suggest a stop-loss just below $79.

MTN

Big news from MTN, as we know the company has been interested in buying the remaining shares of IHS Towers, and we now know the amount, $8.50, which overall will be a $6.2 billion all-cash deal. MTN might struggle at open, and we may see some selling off the bat, but that should stabilise after a couple of hours. We are currently trading at swing highs, and we did see positive trends after the news came out last week that they had intended to go through, but had not disclosed the amount.

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