Zak Mir takes a charting look at some of the most closely followed small caps on the London Stock Exchange. Today’s charts are FTSE 100, DAX, Dow, Bitcoin, Ethereum, Gold, Altona, Amigo, Ascent, Aminex, Ferro Alloy, Gfinity, Galantas, IQE, Jangada, Kendrick, Majestic, Orosur, Stack BTC, Sovereign Metals, TPX.
Markets shrugged off a late-week tariff scare and continued to favour the buyers. Momentum is uneven across assets, but the technical picture points to continued accumulation in many equity markets, while pockets of weakness are showing up in crypto.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Major indices
FTSE 100
The FTSE has bounced clear of the prior target line at 10,570 and is now looking to retest the top of its rising trend channel around 11,000 by the end of next month. The immediate risk is a pullback to the channel floor near 10,400, but staying above 10,570 keeps the bullish roadmap intact.
DAX
The DAX remains rangebound, trading between the 50-day moving average near 24,700 and resistance projections around 25,800. Progress since the turn of the year has been gradual; a close above the resistance projection would set up the next leg higher toward the end-of-month target.
Dow
The Dow is tracking a rising trend channel since mid-November. Support sits at the channel floor and the 50-day line near 49,000. A conservative target is at least 51,000 by the end of next month. Multiple RSI 50 rebounds since January suggest solid accumulation despite headline noise.
Crypto
Bitcoin
Bitcoin suffered a rug pull below 65,000 after the tariff headlines and has formed a double top in the RSI window — a bearish warning. A close below 65,000 increases the chance of a move down to the channel floor near 57,000. The falling flag since the rebound from 60,000 looks vulnerable to further downside until that structure is broken.
Ethereum
Ethereum flirted with breaking below the 1,900 level. A sustained close under 1,900 would open the door to the channel floor around 1,570. Lower RSI peaks in the low 30s suggest the downside bias remains a live risk, although a bounce back above 1,900 would keep the hope of range-bound recovery alive.
Gold
Gold has stabilised around the midpoint of its channel and is eyeing the upper band. Remaining above 5,000 is important. An end-of-day close above 5,200 would point toward retesting record highs in the mid-5,500 area, with the old peak around 5,595 on the radar.
Small-cap stocks to watch
Several bulletin-board and AIM-listed names have fulfilled bullish technical setups recently. The common themes are trend breaks, RSI rebounds and rising moving averages. Below are the highlights and key technical levels to monitor.
- Altona Rare — Broke above the October peak and the prior target (2.65p). The immediate target is 3.80p, with a possible extension toward the 5p area if momentum continues. Keep above 3p for the bullish case.
- Amigo — Now trading in a rising channel after several target hits. A retest of 3.75p by the end of next month is the base case, with a top-channel scenario toward 4.5p. Notably, RSI has stayed above 50 since late December.
- Ascend Resources — Sharp moves after news-driven interest. The shares cleared the 200-day line and opened at the low and closed at the high of the day, a bullish sign. As long as the end-of-day close stays above the 200-day line (around 0.43p), targets sit at 2.6p then 3.15p.
- Aminex — Showing signs of being poised for an advance with support above a rising 50-day line. Initial targets are the top of the red channel near 2.6p, then higher into next month.
- Ferro Alloy — Broke recent resistance around 8.9p with both 50- and 200-day lines rising. Near-term upside can extend to the mid-to-upper teens, with the old peak around 14p as a waypoint.
- Gfinity — A long-suffering stock that is finally pushing through the 50-day line (0.03p). A clean end-of-day close above February resistance at 0.036p would support a move toward 0.05p by the end of the month.
- IQE — Broke out of a falling channel and is targeting the top of the triangle, potentially near 15p by the end of next month. Keeping above recent resistance at 11p is a key technical requirement.
- Jangada Mines — Strong performance after a placing that established support. Has already exceeded the second target and is aiming at around 3p (previous support turned target) ahead of next month.
- Kendrick — Multiple targets hit following robust accumulation. The next reference is around 2.82p, with a preference to remain above 2p while pushing higher.
- Majestic Corporation — A textbook stepped-up advance, making steady higher lows and highs. The chart suggests a target near £3.73 by the end of next month while maintaining support above £2.50.
- Orosur Mining — Heavy investor backing has helped power a gap through the October resistance line. The immediate gap-fill target sits around 33.75p, with the broken resistance near 23.5p now acting as support.
- Stack BTC — A small Bitcoin treasury play that recently raised £2m. The chairman has a meaningful stake which aligns management incentives. A reversion toward the start-of-year levels around 12p is possible in the coming weeks.
- Sovereign Metals — The chart looks long overdue for a re-rating: a golden cross formed recently, multiple RSI 50 rebounds and gap higher moves. Clearing recent resistance above 43.12p would open a path to 57p and beyond.
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Tpximpact Hldg — Continuing a strong uptrend after a trend line break and several unfilled gaps to the upside. Targets sit in the low-to-mid 50p area, supported by recent contract wins that bolster fundamentals. Keep above 34p on an end-of-day-close basis for the bullish scenario.
Technical themes and practical takeaways
- Trend channels matter: Many markets are trading inside clearly defined rising channels — stay with them while support holds.
- RSI 50 rebounds are a recurring bullish confirmation across equities; multiple rebounds suggest institutional accumulation.
- Moving averages (the 50-day and 200-day) remain useful gatekeepers. A clear close above these lines tends to accelerate moves.
- Gap fills and broken resistance acting as new support are common motifs on the small-cap board — they provide tidy risk-reward setups.
- Cryptos require extra caution: double tops and falling flags in RSI warn of potential pullbacks even when broader risk assets hold up.
Price action and market internals will decide the next leg. Holding critical supports and clearing the resistance projections noted above is the simple way to stay aligned with the prevailing technical bias. More updates soon.
Disclaimer & Declaration of Interest:
The information, investment views, and recommendations in this Zaks Traders Cafe interview are provided for general information purposes only. Nothing in this interview should be construed as a promotion or solicitation to buy or sell any financial product relating to any companies under discussion or referred to or to engage in or refrain from doing so or engage in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the commentator but no responsibility is accepted for actions based on such opinions or comments. The commentators may or may not hold investments in the companies under discussion.
