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, Gold, Amaroq, Aura, Anglo Asian, Avacta, B90, Conroy, Cambridge Cognition, Corcel, Enwell, Empire, Fox Xplore, Helium One, Rockfire, Tungsten West.
We walk through the technical picture across major indices, crypto, gold and a broad selection of small caps I’ve been following. The tone is cautious overall: geopolitical headlines have dented risk appetite, but several stocks and sectors are still showing clear setups to watch.
Market overview — FTSE 100, DAX and Dow
FTSE 100
The FTSE is pulling back from the recent test of the May resistance line around 9,350 (intraday peak near 9,357). Current support sits around 9,180 — as long as we hold that I’m looking for a retest of 9,350 and, in the best case, a run toward the top of the June channel near 9,520 by the end of next month.
If we break down, August support and the 50-day moving average (around 9,030) is the worst-case technical zone to watch. The RSI is sitting near its support line at current levels, so a turn at 9,180 would be the constructive outcome.
DAX
The DAX is also a touch on the back foot but resting close to its 50-day moving average and the 24,000 level. The 50-day is still rising, though the RSI is below neutral 50 — meaning there’s a risk of a test of August support toward 23,300, with 23,000 a more stressed downside.
Longer term the rising channel from spring last year has a floor nearer 22,000. If momentum flips higher through 24,500, the next target is roughly 25,600 by the end of next month.
Dow
The Dow’s immediate technical identity remains defined by 45,000 as support. While we stay above the 50-day (around 44,300) the trend remains constructive, with a channel top near 47,500 as my target into the end of September. Both the 50- and 200-day moving averages are trending up, which is a positive backdrop.
Crypto section — Bitcoin and Ethereum
Bitcoin
Bitcoin looks like it has found short-term support after the pullback from that 124,000 area. The channel base was near 108,000 and we’ve so far bounced above that, which is encouraging.
Key near-term confirmation: an end-of-day close back above the 50-day moving average (116,000) and an RSI push above neutral 50. If we get that, a run toward the top of March’s rising trend channel near 133,000 by the end of next month is plausible. On the downside, I’m not expecting price to drop below July support at roughly 105,000 in the immediate outlook.
Ethereum
Ethereum has been strong recently — three RSI rebounds at/above neutral 50 and an uptrend line from the end of last month sitting around 4,400. The critical technical is holding that 4,400 level (and the late-July uptrend line); above it I’m eyeing 5,600 as the upper parallel of the rising channel by the end of next month.
Gold
Gold has been tentatively constructive as the dollar shows signs of weakness (Fed and political noise contributing). The market is very close to 3,410 — an end-of-day close above that level could open the way toward roughly 3,800 by the end of next month, particularly if a breakout releases the long price congestion that’s built up since April.
Small-cap roundup
Below are the setups I’m tracking across a selection of AIM/UK small caps — levels, trend context and what I’d watch next.
Amaroq
One of the small-cap stars earlier in the year (peaked 120p) — now almost half that. The key technical line is the uptrend from Oct 2022 running through 60p. RSI is extremely oversold at 14, so 60p is the crunch level for an initial rebound, with a possible bounce toward the 50-day (75p) if it holds.
Aura Energy
Nice breakout through June resistance around 8–8.5p. With both the 50- and 200-day lines rising, a gap-close buy signal and a trend line/resistance break, the chart looks constructive. Above 8.5p I’m looking for a move toward 14–15p by the end of next month.
Anglo Asian
Slow, steady trend here: rising channel floor 160p and a channel top near 210p — that’s my target into the end of next month. RSI has shown rebounds in the 40s and both 50- and 200-day averages are rising in parallel, which supports the upside case.
Avacta Group
After a turnaround above the 200-day, Avacta found support at that line — so technically we’re back in a bull trend while prices remain above the 200-day. Near-term resistance is around 64p in the next couple of weeks while I’d want to see it hold above 50p. A rising 200-day (and an approaching golden cross) would strengthen the bull case; the next bigger resistance cluster is in the 80–85p area.
B90
Funny name aside, the chart shows a broadening triangle from early 2024. The triangle top projects toward about 5.25p by the end of next month while recent support sits near 3p. An RSI rebound through 50 last month keeps the bullish vibe alive.
Conroy Gold
Rejigged management and a rising trend channel: the top of the channel is my target near 10p while the 50-day moving average sits around 5.3p — holding that would be constructive.
Cambridge Cognition
Today’s news-flow included board changes, interim results and a £1.12m placing. Technically this produced a gap-close buy signal and what looks like a bear-trap/island reversal — so a lot going on. The chart shows a broadening triangle from December; I’m targeting 44p while the shares remain above the 50-day (30p) on an end-of-day close basis.
Corcel
We hit the first target near 0.3p and the next target was flagged up as high as 0.46p — we’re nearly there. Both 50- and 200-day moving averages are rising and while the share is above the 0.35 zone it looks constructive for further upside (allowing for the oddness of the jumps between low and higher targets).
Enwell
The shares have bounced off the 200-day and recorded an RSI rebound above 50. Minimum upside I’d like to see is to 29p while the stock stays above 20p; ideally it holds above 21p on a mid-close basis.
Empire Metals
Best-case target was 60p in September — the shares actually hit 60p exactly, which is pleasing. There’s still scope for retests of that level while the break-gap around 51p remains supportive.
Focus Explorer
Following an RNS around an expiration update, the chart shows a key reversal to the upside. The rising trend channel has a base near 0.04p and a top around 0.08p — the latter is my target over the next few weeks provided the base holds.
Helium One
Less encouraging: Helium One has broken down below the old 0.75p support and looks vulnerable. The lower parallel of the falling channel projects toward 0.32p. The company did previously raise money around 0.25p, which is a reminder that capital events can alter outcomes here.
Rockfire
I’ve been looking for a somewhat ambitious 0.22p target — the shares remain above yesterday’s support near 0.17p and I’m still hopeful for a move toward that resistance level in the next week or two.
Tungsten West
Very positive RNS today — an LOI linked to the US — and yet the shares have only just attempted a retest of the old June resistance around 16p. While we remain above the 50-day (just under 10p), a retest of 16p is a realistic near-term objective.
Key takeaways and risk points
- Major indices are mildly vulnerable to geopolitical headlines but remain technically in rising channels if key supports hold (FTSE 9,180; DAX ~23,300; Dow 45,000).
- Bitcoin needs an end-of-day close above the 50-day (116,000) and an RSI >50 to validate a run toward 133,000; Ethereum’s critical hold is 4,400.
- Gold’s breakout above 3,410 could accelerate toward 3,800 if the dollar continues to weaken.
- Watch small caps for clean technical triggers: support holds near trendlines/50-day/200-day are the simple rules I’m applying — break those and reassess the risk/reward.
That’s it for today — keep these levels in mind, manage risk, and I’ll have more updates tomorrow.
““While we’re above the key supports, the charts still signal opportunity — but don’t ignore the downside lines.””
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.
