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, Silver, Alien Metals, Aptamer, Bezant, Eurasia, Filtronic, Guardian Metal, Ingenta, KEFI, Orosur, Richmond Hill, Xtract.
Markets are consolidating with a gentle bullish bias heading into the new year. Several major indices are sitting above prior resistance and carrying enough momentum for further upside, while cryptocurrencies and precious metals show the potential for near-term extensions.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Major indices
FTSE 100
The FTSE has stalled just above prior resistance around 9,770 and is consolidating. There’s still upside energy — RSI sits near 62 — so a push toward 10,000 early in the new year remains the base case, with 10,100 a best-case scenario by the end of January.
Key levels:
- Immediate support: 9,770 (recent resistance)
- 50-day moving average: ~9,689
- Upside targets: 10,000 — 10,100
DAX
The DAX cleared October resistance near 24,100 and is operating in a range between roughly 23,000 and 24,700. The 50-day moving average is beginning to curl up, and the next sensible retest is the October high around 24,700. The upper channel target of 25,800 is possible but will likely take longer — think end of February or beyond at current pace.
Dow
The Dow is tracking toward the top of the February trend channel near 49,000. If momentum accelerates the red July resistance projection around 50,000 comes into view and could arrive by the end of January.
- New support: ~48,000 (old December resistance)
- 50-day line: ~47,400
- Bear risk: a pull back to the 50-day would be the main downside scenario
Cryptocurrencies
Bitcoin
Bitcoin cleared the October resistance line and is showing an RSI around the 50 level after a weekend move. Important levels to track are the near-term band and moving averages.
- Short-term resistance/targets: 50-day moving average near 90,500 and a range top toward 94,000
- Support: recent support around 85,000
Ethereum
Ethereum has been supported by the April uptrend line, currently close to 2,850. A clearance and end-of-day close above the 50-day moving average (~3,039) would set up a run toward the 200-day (~3,587) in January.
- Key support: 2,850 (April uptrend)
- Downside pivot: retest of November support at 2,622 if the uptrend gives way
Commodities — gold and silver outlook
Gold
Gold pulled back from the recent move but is still aiming toward the November 2024 resistance projection, currently headed higher. Holding above recent broken resistance around 4,370 keeps the upside case intact. If there is a deeper pullback, the channel floor near 4,250 is the area to watch for support.
Silver
Silver staged an exponential move, slicing through the top of its range near 60 and clearing 65. The next target sits around 85, with support roughly at the top of the latest gap around 70.
Small-Cap
Here are the stocks I’m tracking with chart-based notes and likely timeframes. The emphasis is on holdings that are above recently broken resistance or supported by rising moving averages.
- Alien Metals — Broke resistance earlier in the month and is trading above the 50-day moving average (0.12 p). Target around 0.20p by end of January if momentum holds.
- Aptamer Group — Gapping through the 50-day and September resistance. Above 0.85p, the top of the range near 1.50p is a reasonable target by end of February, helped by regular corporate news flow.
- Bezant — Bouncing off the floor of a rising trend channel and sitting above the 50-day (0.08p). Top of the channel near 0.13p by late January or early February looks achievable.
- Eurasia — Shares have benefited from peace hopes. With several recent RSI 50-plus rebounds, initial target around 5.25p and best case to 7–7.3p in January if broader developments remain supportive.
- Filtronic — Despite a strong year, this chart still has room. Holding above recent broken resistance at 150p supports a move toward the top of the channel around 210p by the end of February.
- Guardian Metals — In a vertical move, with an immediate target around 190p and scope toward the 200p area quickly while momentum continues.
- Ingenta — Showing a bullish recovery with a bear-trap rebound from below the rising 50-day (88 p). Staying above the 50-day increases the odds of testing the upper channel near 113 p by end of February.
- KEFI Gold — A mid-move consolidation inside a rising channel following a fundraise. Conservative entry would be an end-of-day close through the 50-day (1.45 p) with a target range of 1.66–2.00p by end of February.
- Orosur Mining — Attempting to clear the September resistance near 23p and already above the 50-day (21p). A push to 40p (top of the rising channel from last February) is the bullish case for late February.
- Richmond Hill — In a rising trend since last summer and sitting above the 50-day (1.22p). Channel top near 2.4p is a medium-term idea, though liquidity can stretch timing.
- Xtract — Bear-trap rebound from below November support (0.55p). Staying above recent broken resistance near 0.6p opens a run to the top of the broadening triangle around 1.3p into February, or a conservative target of 1.0p by end of January.
Checklist — levels that matter this week
- FTSE 100: hold 9,770 and 50-day (~9,689); target 10,000–10,100
- DAX: clear 24,700 to aim toward 25,800 over coming months
- Dow: support 48,000; 50-day ~47,400; upside to 49,000–50,000
- Bitcoin: support ~85,000; 50-day ~90,500; near-term target ~94,000
- Ethereum: hold 2,850; 50-day ~3,039; target 3,587
- Gold: keep above 4,370; support channel floor ~4,250
- Silver: gap support ~70; target up to ~85
Final thoughts
The overall picture is constructive: indices sit above prior resistance with moving averages beginning to cooperate. Cryptocurrencies and precious metals have clear near-term targets while small-cap names are offering discrete setups where holding the 50-day moving average or recently broken resistance will be the trigger for the next leg up.
Risk management remains critical — watch the 50-day lines and the specific support levels listed for each instrument. When those levels break, reassess the trade and the thesis. Otherwise, the path of least resistance for many markets looks tilted to the upside as we move into January.
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.
