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, Alkemy, Aterian, Astrid, DeFi, Empyrean, 80 Mile, Harena, Physiomics, Upland, Union Jack, Zenith.
Here’s a straightforward read on the charts I’m watching right now — the key support and resistance levels, what the RSI and moving averages are telling us, and a selection of small-cap ideas that look interesting from a technical perspective.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Major indices
FTSE 100
The FTSE is trading inside a rising trend channel that dates back to last February. Important levels to watch:
- Nominal resistance: 10,220–10,250 (we’ve briefly exceeded this recently).
- Support floor: 10,130 (and the floor of the rising red trend channel from October).
- Upside target: a break above resistance could carry the index toward 10,500 by the end of next month.
Technically this is constructive — instead of finding support at RSI 50 (typical in bull markets), the FTSE has been finding support around RSI 60, which is a bullish sign. A shallow rug pull is possible, but a move below the recent 10,050 low would be more concerning.
DAX
The DAX looks less clean than the FTSE but has done what the charts suggested: it tested the rising 50-day moving average.
- 50-day line: 24,300 (acted as support).
- Near-term resistance: 25,000 (the recent weekly cap).
- RSI: around mid 40s; a close back above 50 would be reassuring.
With both the 50-day and 200-day moving averages sloping up, the underlying trend remains positive, but caution is warranted until the RSI recovers above neutral territory.
Dow
The Dow is messy in terms of the rising trend channel geometry, but there are clear pivots to respect.
- Key pivot: 49,000 — the market doesn’t like being below this level.
- Initial upside target: 50,000 (a psychological and technical barrier).
- Secondary target: 52,000 (top of the late-Nov/Dec channel).
- 50-day line to watch for entries: 48,240 (could show up as an intraday dip).
Support above the 50-day line and RSI staying above 50 are positives — the index remains biased higher while those conditions hold.
Cryptocurrencies
Bitcoin
Bitcoin has shown the weaker side of the market recently. Key observations:
- Persistent failures below a falling 50-day line preceded the break of the autumn uptrend near 86,000.
- Near-term downside is toward the 80,000 area (the November low sits at ~80,59).
- If 80,000 does not hold, the next significant support cluster is around the April lows near the mid-70,000s.
- RSI is low (31) — approaching oversold territory.
- A practical bullish trigger would be an end-of-day close back above 84,000.
In short: hope for 80,000 as a floor; a close below that would be damaging for the crypto space in the near term.
Ethereum
Ethereum has been weaker than Bitcoin and has repeatedly failed at the 50-day lines.
- Key November support around 2,622 — staying above this is important for a short-term base.
- If that breaks, the next support zone is roughly 2,300–2,400.
Keep an eye on correlation with Bitcoin: if BTC stabilises and reclaims its key levels, Ethereum can follow, but its chart looks fragile while it trades below the 50-day.
Gold
Gold has been less volatile than the crypto complex but experienced a pullback after a strong stretch to the upside.
- Recent pullback has returned price toward the top of an old channel (4,940 area).
- Best-case upside target remains around 5,680 on a sustained recovery.
- A deeper rug pull could retest the old spike high in the 4,790 area.
The pattern looks like a healthy correction after an overstretch — the next moves depend on whether the old channel top holds as support.
Trading takeaways
- Indices broadly constructive while they hold respective 50-day moving averages and RSI above 50, with the FTSE showing particularly robust momentum (RSI support near 60).
- Cryptos need careful risk management — Bitcoin’s break under the 86,000 uptrend and Ethereum’s failure under the 50-day MA raise the probability of deeper tests.
- Gold remains a two-way market after a sharp stretch higher; 4,940–5,000 is a key reference area for bulls.
- Small-cap opportunities exist when price action shows sideways shuffles above rising 50-day MAs or clear channel breakouts. Respect support levels and use tight execution rules.
More updates will follow as price action evolves over the next few days. Keep an eye on end-of-day closes around the moving averages and RSI thresholds mentioned above — they will tell you whether the current themes remain intact.
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.
