Zak Mir takes a charting look at some of the most closely followed small caps on the London Stock Exchange. Today’s charts are for the FTSE 100, DAX, Dow, Bitcoin, Ethereum, Gold, Crude Oil, ATOME, Audioboom, Block Energy, Empire, Gfinity, Great Western, IQE, ImmuPharma, Mercantile Ports, Made Tech, and Zenith.
Here’s a charting rundown for Friday, 10th April, built around one simple idea: markets tend to give you clues before they give you direction. The trick is knowing what to watch, where the invalidation levels sit, and what “confirmation” looks like using end-of-day closes, support floors, and key moving averages.
As always, do your own research and treat these as chart-based observations rather than hard recommendations
FTSE 100: mid-move consolidation and the case for a push to record highs
The footsy 100 has slipped into a decent-looking mid-move consolidation. The area to frame is roughly 10,570 on the downside, with 10,680 as the nearby resistance. The bullish trigger is an end-day close through 10,650. That level matters because it was resistance “on the way down” last month. If price can reclaim it and close above, the next objective becomes a retest of the record highs around 10,900.
At the moment, the market appears to be pricing in a positive resolution to the Iran situation. That sentiment shows up in the indicators: an RSI rebound above 50, and both the 50-day and 200-day lines rising. Support-wise, you’d start by watching the 50-day line around 10,389. If the market suddenly goes wrong (a “rugpull”), the next channel floor sits around 10,280.
DAX: breakout through a falling trend channel, with resistance overhead
The DAX has pushed through the top of a falling trend channel, putting it around the 23,700 region. Resistance is forming around the 50-day and 200-day moving averages just above 24,100. Upside targets: 24,600, which lines up with the top of the second gap-down area from last month. Downside “if things go pear-shaped”: 23,400 would be the rugpull destination, tied to the recent gap area. RSI is supportive at about 54, sitting in the mid-50s. If you’re cautious, confirmation is an end-of-day close through the 50-day line at about 24,100 (not just a poke above it intraday).
Dow: the villain of the piece, but the chart still points to 50,000
The Dow has climbed to the top of a falling trend channel. That is perhaps surprising, but it does raise the question: is this just a ceiling, or can it break into a new leg higher? The immediate “next level up” is 50,000. The discussion also notes that resistance is around 49,000, which acted as resistance on the way down. Above that, however, there is “not really much in the way of resistance” until 50,000. Key moving average context: A level around 48,000 is referenced as the 50-day line area. If there is a rug pull, the first place to look is the mid-March peak around 47,400.
Bitcoin: stuck under a falling trend channel top
Bitcoin is still struggling to break the top of a falling trend channel. The exact placement can be contentious (trend channels often are), but for this charting exercise the channel is drawn with yesterday’s peak around 73,000. Above 73,000, the next resistance to consider is around 79,000, with the expectation that it could be reached by end of this month (if upside momentum continues). Support levels that matter 68,900 is the obvious destination, tied to the 50-day line. $66,000 is the “floor” for the uptrend line. If price goes below, there is a real risk of a breakdown similar to what happened at the end of January into February.
Ethereum: converging triangle dynamics and the need for an end-of-day close
Ethereum looks like it’s stuck in a converging triangle. The transcript notes that it wasn’t totally clear if the pattern “really existed,” but the structure is being treated as actionable. The top of the triangle is around 2,260. The condition for a bullish continuation is an end-of-day close above 2,260. If that happens, the target becomes 2,480 and the top of a falling trend channel from August. Support sits around 1,950 to 1,960, near the uptrend line from February. RSI is in the mid-50s, and the 50-day line is rising, which supports the idea of a turn if the key line is reclaimed.
Gold: recovered, but still below the 50-day line
Gold had a strong recovery from a bear trap rebound below 4,400, but it is still stuck under the falling 50-day line around 4,903. That makes the market look “constructive but capped.” Initial target while above recent support at 4,600 is the 4,903 area (the 50-day line). RSI is still below neutral 50. There’s also a speculative angle for bears: the idea would be shorting from the 50-day line failure point on the assumption gold cannot reclaim that moving average. But that’s explicitly framed as more speculative.
WTI crude oil: rising trend channel, RSI rebound, and a gap to fill
Crude oil is still operating inside a rising trend channel. The floor of the channel is identified around $95. The charting logic includes a gap to fill towards $110. The commentary also calls out a disconnect between how much oil has fallen and how much the “fake ceasefire” narrative might imply. An important detail is an RSI 50 rebound. In the framework being used, that acts as a continuation signal. The practical trade-style line is: Buy the market if it can move above $95. First instance target: $110.
Small – Cap’s
ATOME: has a bit of a messy “U chart,” but the important point is this: there was an unfilled bear trap gap reversal last month, followed by another gap higher today. Key levels: The top of the range and channel area: 82p (target by end of this month). As long as price remains above broken resistance around 68p, the bias stays constructive.
Audioboom: remains a “complete dog,” at least emotionally for long-suffering shareholders. But chart-wise, there is a real development: price has broken through the top of a falling wedge. The breakout level is around 495p. After that, near-term resistance sits around the 50-day and 200-day moving average areas, near 540. Upside objective for the best-case framing is the top of the triangle drawn on the chart near 660p, by end of next month. The bullish nuance is that even with lower lows in the post-January period, RSI has been nearly the same, implying a bullish divergence.
Block Energy: A quick way to spot a bull market in oil stocks is to notice when even the “cruel” names start rising. Block Energy is presented as doing exactly that. Rising trend channel base from October – Channel top around 1.8p, which becomes a target for end of next month and possibly sooner. Maintaining conditions: Stay above the channel floor. Hold above the 50-day line near 107p.
Empire Metals: shows improving price action, and the transcript notes sensible signs like director buying in the low 30s pence. The chart setup is built on a breakout. Broke recent resistance at 36p. Top of the rising trend channel from September near 52p, by next month or sooner. A particularly bullish technical note: it has broken through the 200-day line, with the suggestion that a golden cross could be forming later this month or next month. Level to respect: above the 50-day line at least around 33p.
Gfinity: has been trying to revive, and the chart has already delivered a meaningful move: it’s above the 200-day line around 0.005p and is roughly up 100% off the start-of-year. The objective is the top of the broadening triangle from September near 0.009p by end of next month. Ideally, price stays on the right side of 0.005p. Two RSI 50+ rebounds are noted as strengthening the setup.
Great Western Mining: is framed as a “nearly there” momentum story. The rising trend channel sits around 1.6p, and the chart expects movement above the 50-day moving average to unlock the next target. Target: 2.7p (best case by end of next month).
IQE: has been charted for a long time and has delivered: the break of the second target at 15p has led to shares more than doubling. The final target presented is 35p, derived from prior resistance around mid-2024. RSI is an important supporting indicator here: it hasn’t been below 50 since early January.
ImmuPharma: is described with the idea that a rising trend channel base may be forming around 4.5p. The bullish condition would be RSI moving above neutral 50. If that happens, the next target is a return to last month’s resistance near just under 8p. But there’s a clear warning: this is not “for the weak-hearted,” because another downside leg remains possible.
Merkantile Ports: is having a good April. The shares have broken through the 200-day line. From there, the target is the top of a falling trend channel from the summer near 1.2p by end of this month. Another bullish structure is referenced: a bear trap gap reversal in December followed by building on a rising trend channel, targeting 47p. The near-term “must hold” level is above the 200-day line around 35p.
Made Tech: recovery moded – rising trend-channel heading for 47p, while we remain above the 200 -day line at 35p.
Zenith Energy: is called out as a star of the moment. The focus is on reaching a “fourth target” near 11p, hopefully in the coming days. If that’s achieved, the next best-case objective is the top of a gap from July, near 15p, by end of next month. Confirmation condition: stay above March resistance around 8.75p .
How to use this rundown: the practical checklist
The recurring approach across indices and single stocks can be boiled down to a simple checklist:
- Identify the ceiling: falling channel tops, 50-day lines, and prior resistance gaps.
- Look for end-of-day closes when the market is “close but not quite” (FTSE 100 at 10,650, DAX near its 50-day gate, Ethereum over 2,260).
- Know the floor: channel floors, uptrend line supports, and recent gap bottoms (like FTSE 100’s 10,280 and DAX’s 23,400).
- Respect RSI context: especially rebounds above 50 and cases of bullish divergence (Bitcoin’s structure isn’t there yet, but the equity chart setups often are).
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.
