FTSE near some tough resistance

FTSE rally hos now reached the down trend line from 2007 high best seen on weekly chart below:

FTSE WEEKLY

Also on the daily chart looks close to some strong horizontal resistance areas...is there a possible head and shoulders forming ?  ssshhhhh...

FTSE DAILY

 

 

 

 

 

 

 

 

Seems like the probability is weighted in favour of a bear move from here, either the BIG one, OR (more likely IMHO) a move back into the rising channel with lower boundary at 5200 ish

CABLE...

Looks like cable is nearing significant resistance zone...

 

Could be one more move up to 1.65 if the USD carries on being sold..

Longer term view..MONTHLY Chart

has worked off the oversold condition at point 3 

RSI is now back to neutral level

IF wave count is correct longer term should revisit lows ie 1.30 level and possibly more

DAX breaking down from Diamond formation?

Looks like the Diamond Topping pattern is coming to fruition..with today's action (SO FAR!)
http://iberianviews.blogspot.com/2010/10/dax-diamond-formation.html

 6124 looks like temporary support, expect a possible retest of the breakdown level around 6200, if we get above 6230 ..back in the range and possible FAILURE of the DIAMOND.

If 6124 breaks , 6080/6060 level next support

LONGER TERM

 A break of 6060 brings 5850 into play...

DAX diamond formation?

"The diamond formation reversal pattern is found relatively infrequently. When it does form, however, it usually does so at market tops rather than at bottoms."