Risk was back last night, as overseas markets reversed their sideways funk and bids were finally made to push undollar assets above their resistance levels. In Europe, good data from France and Germany gave the impetus for the biggest rises, whilst in the USA, the beginning of the US corporate earnings season, with a loss-making Alcoa, whilst providing a positive outlook saw some more modest bids.
In detail:
The UK FTSE jumped 84 points or 1.5% to finish at 5696 points, but has yet climbed above its resistance level at 5700 points, whilst the German DAX was even better, up 2.47% to finish at 6162 points, climbing just above strong resistance (but not its 200 DMA) and presenting a mildly bullish case for a continued runup:
The Euro (EUR/USD) saw relatively light bids, and climbed up to nearly 1.28 against the USD. It is currently trading at 1.2775, as the USD Index lost 0.3 points, but still above the 81 point level and critically, its support level around 80 points: