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, Active Energy, Blencowe, Cambridge Cognition, Cindrigo, Ethernity, Guardian Metal, Helium One, Helix, KEFI, Prospex, Rome Resources, Strategic Minerals, Tungsten West.
Markets are showing a mix of cautious consolidation and selective breakouts. The broad message is simple: hold above key moving averages and trend floors and the upside remains favoured; close back below those floors and a retest of lower supports becomes possible.
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 converging channel. The current floor sits around 10,330 with the top near 10,560. Multiple RSI rebounds around the 60 zone show real underlying strength.
Key levels to watch:
- Clean end-of-day close through 10,560 would open the path toward 11,000 by late March or into April.
- Immediate support is the channel floor at 10,330. A drop below that — especially below the old January peak at 10,270 — would shift the tone to cautious.
DAX
The DAX remains range bound between the rising 50-day line near 24,600 and recent tops around 25,200. Expect the range to persist unless a decisive close above resistance appears.
If support holds above the 50-day, a move toward the projected resistance near 25,700 by the end of the month is plausible.
Dow Jones
The Dow appears to be in a rising trend channel. The steeper trajectory points to 52,000, but a more modest and realistic near-term target is around 51,500 (even 51,125 on the lower path).
Important supports and confirming signals:
- 50-day moving average around 49,500 is the ideal support area to hold.
- RSI remains above neutral at about 52, which is constructive for further upside.
Cryptocurrencies
Bitcoin
Bitcoin is consolidating in a defined band. Look for end-of-day closes to confirm direction.
- Range: approximately 65,000 to 72,000.
- Close above 72,000 would target the upper 70s, with the prior resistance near 79,000 in sight.
- Close below 65,000 risks a retest of the channel floor toward 60,000, with a worst-case dip near 58,000. Major structural support sits around 52,000.
Ethereum
Ethereum mirrors Bitcoin’s technicals. Recent support is around 1,870 with resistance around 2,160. The pattern is behaving like a bear flag, so a move to 1,700 is more likely than a sustained rally to 2,400 unless upside momentum returns.
Gold
Gold has been volatile but remains inside a rising trend channel that began in November 2024.
- Top of the channel near 5,190.
- Recent support just below 4,900.
- 50-day moving average around 4,646 — a sensible place to consider a limit order for fresh entries if you want to buy into the next push higher.
Small-cap
Several smaller names are showing clean technical setups: breakouts, rising 50-day support and RSI behaviour that suggest follow-through is possible. Below are the key stocks with levels and timeframes to watch.
Active Energy: After breaking resistance at 0.007, the shares are finding support above a rising 50-day line. The technicals suggest a minimum upside to around 0.11, with scope to fill a gap toward 0.15 and an optimistic upper parallel near 0.16 by the end of March.
Blencowe: Well embedded in a rising trend channel since April. Holding above the 50-day (7.6p) opens a path toward 12p as soon as the end of next month, especially if the congestion between 7p and 9p finally clears.
Cambridge Cognition: A clean gap-through resistance at 40p makes this a strong rerate candidate. Both the 50- and 200-day moving averages are rising and a golden cross is forming. Expect at least 53–54p in the near term while price remains above 39–40p.
Cindrigo Holdings: Just cleared February resistance near 5.75p. A logical next step is the 50-day moving average around 8p within the next two to three weeks if momentum continues.
Ethernity Networks: Not much headline recovery yet, but a persistent uptrend in the RSI suggests improving internals. A decisive end-of-day close above the 50-day moving average would be a bullish confirmation. Initial technical target near 0.007P while staying above recent lows.
Guardian Metal: One of the standout performers on a technical basis. From very low levels years ago, the shares have rallied through prior targets and are now trading well above previous ranges. The next fresh leg could push toward 274p by the end of next month, having already cleared the rising trend channel top near 204p.
Helium One: After company updates on Tanzania and Rockba, the structure remains constructive. While the shares look a touch tired, the technical plan remains intact: above the previous pivot at 0.77p there is scope to move toward 1.22p.
Helix: The long congestion between 25p and 30p looks to be resolving. A rising trend channel from June points toward 37p by the end of next month, provided price stays above the 50-day near 27p.
KEFI: A clean breakout from the recent range between 1.3p and 1.75p. Sustained trading above 1.75p targets roughly 2.5p. Technical strengths include multiple RSI rebounds and rising 50- and 200-day averages.
Prospex: The falling one-year trend channel sits around 3.2p. A break above there — and the unfilled gap to the upside — leaves scope to the 5p area by the end of next month while remaining above the 50-day.
Rome Resources: Price is shuffling sideways above a rising 50-day moving average and an RSI uptrend. Support around 0.22p with a target at the top of the falling channel near 0.36p by the end of next month.
Strategic Minerals: Still a strong technical performer. The second target of 3.5p has room to run, and a further projection sits near 4.66p by the end of next month. Critical near-term support is around 3.33p.
Tungsten West: Recent fund-raising appears absorbed by the market. Short-term support near 27p creates a platform for a retest of the 39–40p zone by the end of next month. Best-case longer-term target sits nearer the upper channel around 53p into April.
Practical checklist for traders
- Confirm end-of-day closes before assuming breakouts or breakdowns.
- Use the 50-day moving average as the first line of defence for bullish setups.
- Watch RSI behaviour for confirmation: repeated rebounds above 50 often precede sustained rallies.
- Place limit orders near rising moving averages if you prefer lower-risk entries.
- Set stop levels just below acknowledged trend floors to protect against rug pulls and knee-jerk weakness.
Technical conditions favour select upside while key support levels hold. The next few weeks will separate clean breakouts from false moves, so keep position sizing disciplined and focus on the charts rather than the noise.
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.
