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, Andrada, Arkle, Bezant, Celsius, Delta Gold, 80 Mile, East Star, Eagle Eye, KEFI, MobilityOne, Solvonis, Vault, Xtract.
Below I lay out the key technical levels, targets and downside guards to watch across the FTSE 100, DAX, Dow, Bitcoin, Ethereum, gold and a selection of small-cap bulletin board names showing early momentum.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Major Indices
FTSE 100
Price has been tracking a rising trend channel since last February. The near-term target is the channel top around 10,190. A sustained daily close above that level would open room for the October channel top near 10,500—possibly by late next month.
On the downside, expect stops and short-term pullbacks to cluster around 10,000, with a potential mechanical dip to roughly 9,950 if stop-hunting occurs. That area also lines up with the October rising trend channel floor.
DAX
The DAX has been pushing into record territory inside a rising channel that began in April. Look for the channel top near 25,800 possibly by the end of the month. If momentum extends, the upper parallel could carry prices toward 27,000 in February–March.
Key downside support to limit losses sits around 24,700 (old October resistance).
Dow Jones
Trading just under the psychologically important 50,000 mark, the Dow has a rising channel from February. Short-term upside to 50,200–50,300 is credible, with an extended run targeting the 51,000–52,000 area if strength continues.
Upside momentum remains valid while the Dow holds above recent support near 48,800. Repeated RSI bounces above neutral 50 and dips that have been buying the 50-day moving average point to a robust technical setup. Worst case is a pullback to the 50-day line if the market stumbles.
Cryptocurrencies
Crypto is the Achilles heel among major markets, but there are constructive technical signs for both Bitcoin and Ethereum.
Bitcoin
Bitcoin completed a rebound above the rising 50-day moving average, now sitting just under the £90,000 (or $90k) area. Short-term targets:
- Minimum: £95,000
- Best case: £106,000 and a test of the 200-day line (by the end of next month)
RSI has rebounded above 50 and price remains in a sideways shuffle above the rising 50-day line—two bullish signals that explain recent strength in Bitcoin-linked equities.
Ethereum
Ethereum is also trading above its 50-day moving average with multiple RSI bounces at or above neutral 50. Initial upside target is around £3,300, with a stretch objective near the 200-day line and October resistance at roughly £3,635 (or $3,600+) by the end of next month.
If downside pressure breaks the April uptrend support, a re-test around £2,900 becomes a likely destination and potential buy zone.
Gold
Gold consolidated after a strong start to the week and is holding above the prior December resistance at £4,560. With that base intact the next target is around £4,820 by the end of next month.
Support and possible entry zones:
- Channel floor from October near £4,320
- 50-day test near £4,248—a “blink and you missed it” buy-the-dip area where a limit order around £4,250 could be effective.
Selected Bulletin Board Stocks to Watch
Several small-cap and bulletin board names are showing interesting technical patterns: RSI rebounds, 50/200-day support, and channel breakouts. I’m noting price levels that keep the bullish setup intact and realistic targets over the coming weeks.
Andrada Mining
- Near-term nudge around 4p.
- Targets: 5p+ by the end of next month while holding above the 50-day line (3.4p).
Arkle Resources
- Rising channel since autumn 2023. Maintain bull case while above the 200-day line (0.33p).
- Target: 0.64p by end of next month (conditional on staying above the 50-day).
Bezant Resources
- One of last year’s top performers, showing a recovery above the 50-day line.
- Critical support: 0.009. Target: up to 0.16 over the coming month.
Celsius Resources
- Technical picture suggests renewed upside. Immediate channel top near 0.71p; next level around 1.04.
- Upside valid while staying above the channel floor (0.72p on end of day basis).
Delta Gold
- Recently cleared resistance near 14.5p after a deeper-than-expected fall.
- Upside target: as high as 25p by the end of next month if momentum holds—backed by rising 50 and 200-day lines and RSI rebounds.
80 Mile
- Breakout above the 50-day line (0.58) suggests an acceleration higher.
- Condition: no end-of-day close back below old resistance (0.79). Target: 1p in short order if momentum sustains.
East Star
- Good news flow but muted market response; the stock trades near resistance.
- Target: 5p while remaining above recent support at 3.1p.
Eagle Eye
- Contract news produced a gap up today, continuing a pattern of gap moves in July and November.
- Target: top of channel around 365p by end of next month while holding the channel floor near 288p.
KEFI
- Bounced off support around 1.15–1.20p. Cleared resistance at 1.45p to create a potential move higher.
- Near-term upside to 1.5–1.6p, with a stretch target of 2p if a broader breakout follows.
MobilityOne
- Recent push higher keeps the earlier 14p theoretical target in play while the shares remain above the 6–7p support band.
Solvonis Therapeutics
- Bounce above a falling 50-day line combined with an RSI 50-plus rebound suggests a bull flag.
- Target: up to 0.46p by end of next month while above the 50-day (0.27p).
Vault Ventures
- Hit the first target at the top of the falling channel (1.19p) and now aiming for the 200-day line and upper parallel near 1.64p—potentially by the end of the month.
- Keep an eye on the 1.3p end-of-day close level as a key bull/bear divider.
Xtract Resources
- Recovered from below September support and is trading above the 50-day (0.66p).
- Target: at least 1p as soon as the end of the month, ideally backed by an RSI 50-plus rebound. Watch the 200-day at 0.77p.
How to Use These Levels
Price action respects context. Use the following approach when trading or monitoring these setups:
- Define the condition that keeps the bullish case valid (for example, “above the 50-day” or “no close below X on an end-of-day basis”).
- Set realistic targets tied to channel tops, 200-day lines or prior resistance zones.
- Place stop or limit orders around logical support zones—where many stops are likely clustered—to manage risk and avoid emotional exits.
- Watch RSI behaviour for confirmations: repeated rebounds at or above neutral 50 are meaningful in these setups.
Bottom Line
The broad market tone is constructive for equities and gold, with major indices still riding rising channels and holding key moving averages. Crypto shows signs of recovery but remains the weaker area and deserves cautious sizing. For bulletin board names, look for setups that combine 50/200-day trend support with RSI confirmation and pick entries around clear channel or moving average levels.
More updates will follow as price action unfolds over the coming sessions.
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.
