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, WTI Crude Oil, Accelerate8, Arrow, Bezant, GEO, Greatland, Halo Minerals, Hardide, Inspecs, Relx, Rc365, SkinBio, XP Factory.
The market backdrop is a bit mixed at the moment. Some indices are sitting right on important technical levels; crypto still looks heavy; gold is trying to recover in a slightly counterintuitive way; and crude remains under pressure. On the stock side, though, there are still some very workable setups with clear levels to trade against
As always, do your own research and treat these as chart-based observations rather than hard recommendations
FTSE 100: still stuck, but the upside case remains alive
The FTSE 100 is not exactly racing away. It is effectively treading water around the January resistance area near 10,460, while also holding above the 50 day moving average around 10,408.
As long as the index stays above, or at least close to, that 10,400 zone, the chart still leans bullish. The obvious upside target from here is around 10,700, which lines up with April resistance.
The RSI is sitting in the mid 50s, which is often a constructive position for a move higher. That keeps the door open for a stronger push, with a more ambitious target around 10,900 by the end of next month.
The risk, of course, is that the market slips again. If that happens, a retreat towards the projected support line around 10,100 would be the main downside scenario. For now, the 50 day average remains the key line in the sand.
DAX: 25,000 remains the level that matters
The DAX is also wrestling with a major level. The market had been sitting on the January resistance line around 25,000, but it has drifted back below that mark and looks to be filling the gap towards 24,700.
That move lower is not a disaster on its own. What matters is whether 25,000 can be reclaimed and held on an end of day closing basis. If that happens, then the next leg higher could carry the index towards 26,300 by the end of next month.
On the downside, support comes in around:
- 24,400 at the 50 day moving average
- Just below 24,400 at the 200 day moving average
Those two moving averages should provide a pretty solid technical floor unless sentiment deteriorates sharply.
Dow: still heading higher
The Dow continues to look one of the stronger charts. Price has been climbing inside a mini rising channel from April and is now pressing up towards the top of that structure near 52,000.
If the index can break decisively above 52,000, the next target becomes the November resistance line around 53,400. At the current pace, that level could come into play before the end of next month.
Any short term pullback should find support around 50,900, which marks recent broken resistance. At the moment, though, there is not much evidence of a major reversal trying to take shape.
Bitcoin: the technical picture is deteriorating
Crypto continues to be the difficult area of the market.
Bitcoin briefly moved above the old March support level near 65,000, but that strength did not last. It has already fallen back below 64,000, which had been acting as neckline resistance more recently.
That failure raises the risk of another move down towards 60,000, which has been the key downside scenario for a while.
The RSI is not helping either. There have been multiple failures around the 50 area after previously much stronger readings, and another recent RSI setback adds to the negative tone. When momentum cannot reclaim neutral territory properly, it often signals further weakness ahead.
Ethereum: if Bitcoin looks weak, Ethereum usually looks weaker
Ethereum is trying to hold above the February support level at 1,753, but only just. That is not exactly the sort of rebound that inspires confidence.
An end of day close back below 1,753 would leave the chart vulnerable to a retest of 1,500.
If it can stay above that support level, there is still scope for a rebound towards the top of the falling trend channel from July, which comes in around 1,990. Even so, the momentum picture is shaky, with RSI threatening to fail below 50, which would echo the weakness already visible on Bitcoin.
Gold: a rebound, but still not a full blown bull run
Gold has produced one of those moves that feels slightly at odds with the broader narrative. Despite improving geopolitical hopes, the metal has been rallying.
The first target on the upside is the 200 day moving average around 4,458, provided recent support near 4,160 continues to hold.
Even if gold reaches the 50 day moving average near 4,564, that area may act as a ceiling rather than the start of a much bigger advance. The RSI has struggled in the mid 40s, which is not the sort of momentum behaviour you want to see if a sustained bullish trend is about to resume.
So for now, this looks more like a rebound within a still uncertain backdrop than a fully re-established uptrend.
WTI crude: close to major support, with rebound potential
Crude oil has nearly reached the 200 day moving average at 73.64, which had been the expected downside target. Price has come very close already, and it would not be surprising to see that level tested directly.
If the weakness extends further, the worst case target is the floor of the February gap around 68 dollars.
On the upside, resistance remains limited around the old April support at 80.56. That gives a fairly well defined range for anyone trading the market short term.
One positive for the bulls is that the RSI is now in oversold territory. That suggests the market may be close to an intermediate bounce, even if the broader trend still looks heavy.
Stocks in focus
Acceler8 Venture: still room after the late spot: Even though the move was picked up late, the chart still suggests there is more to come. The target is the top of the rising channel from April, which points to 400p or better by the end of next month. The setup remains constructive while the shares hold above the floor of the price channel around 240p to 250p, with the 200 day moving average also rising.
Arrow Exploration: rerating despite weaker oil: Arrow appears to be going through a rerating phase even though the oil price itself has been soft. The chart is building within a rising trend channel, with the upper boundary currently just under 24 pence. The best case target by the end of next month is 35 pence, which would bring price up to the top of the longer term rising trend channel from September. The momentum picture is supportive too, with an RSI uptrend line intact and a bounce back above the 50 level.
GEO Exploration: a steady setup above the 50 day line: GEO has not delivered the full move that might have been hoped for yet, but the chart still looks supportive. The shares are holding above a rising 50 day moving average, which keeps the bullish scenario in place. The near term objective is a break through 0.16p, and if that goes, the chart opens up towards 0.19p by the end of next month. Timing is always the awkward part with these consolidations, but technically the current zone still looks acceptable for positioning.
GS Technologies: the classic sideways shuffle higher: GS Technologies has a very similar feel to GEO. It is edging sideways to higher above a rising 50 day average, and that sort of setup often precedes the stronger upside bursts. The key resistance from this time last year sits around 0.44p. Above that, the initial target is the 200 day moving average at 0.51p, and then potentially 0.58p by next month.
Greatland Resources: a very strong bear trap reversal: Greatland has one of the standout charts. The pattern is a double bear trap island reversal, which is a powerful technical signal when it works properly. The shares gapped lower in May, then again in June, before reversing with two upside gaps. That sequence has been followed by solid continuation, which strengthens the signal even further. As long as price stays above the 50 day moving average around 726p, the upside targets are: 800p initially and 900p by the end of next month in a stronger scenario
Halo Minerals: momentum improving nicely: Halo Minerals is following through on the rebound case. Once recent resistance around 9.22p is cleared, the minimum upside target becomes roughly 10.25p. If the move develops properly, the top of the triangle from late April points to as much as 14p by the end of next month. The RSI has bounced three times from lower levels, and that kind of repeated support in momentum often helps fuel a decent recovery move.
Hardide: contract news continues to support the chart: Hardide has been pushing out a steady flow of contract news, and the chart is responding accordingly. The shares found support above last month’s upside gap, which is exactly what you want to see after a strong move. The next hurdle is the initial June resistance around 71p. Above that, the chart points towards 105 pence, although that target probably sits better on an end of August time frame rather than trying to force it too quickly. Ideally, the shares stay above 67p, which marks recent broken resistance. RSI has also been repeatedly finding support around the neutral 50 area, which is another bullish sign.
Inspecs Group: strong step formation remains in place: Inspecs is showing a very robust step pattern, one of the cleaner continuation formations around. As long as the shares hold above the floor of the latest gap around 84p, and preferably above today’s low at 88p, the chart still supports a move towards 120p by the end of next month.
RELX: support first, breakout second: RELX is sitting on an important support line, so this is one where discipline matters. The immediate concern is to avoid sustained price action below £24. If support holds, the ideal next development would be a break of the January resistance line around £26, which would then open up the way towards £30.
RC365 Holding : good news may already be partly priced in, but the chart still works: This stock has rallied well, and the interesting question is whether the price had already started to anticipate positive news before the latest announcement. The important level now is 2.3p, which represents initial 2026 resistance and should ideally hold on a closing basis. If it does, the previous upside target around 3.1p remains valid. Even if a lot of the good news is already reflected in the share price, the technical setup still has support from:
SkinBio: cork out of the water: SkinBio has been one of the stronger performers in recent days, and the rebound has a lot of energy behind it. After a triple bottom style recovery and a bounce from very oversold conditions, the shares have pushed back above the late March resistance around 10.75p. That move now points towards at least 14p, and possibly 15p, by the end of this month.
XP Factory: quiet chart, decent structure: XP Factory is hardly the market’s glamour name, but the chart is actually behaving quite well. The shares are rising within a trend channel, and the base of that channel is guiding price towards 26p by the end of next month. That view remains valid while the stock stays above recent support around 17p.
Key takeaways from the charts
A few broad themes stand out across the market right now:
- Indices are near major technical levels rather than in clean breakout mode
- The Dow still looks the strongest of the big benchmarks covered here
- Bitcoin and Ethereum remain vulnerable, with momentum readings adding to the downside case
- Gold is rebounding, but the momentum profile is still not convincing enough to call a full bullish reset
- Crude oil is near support and may be close to a short term rebound
- Several small and mid cap stocks continue to offer constructive technical setups despite the mixed macro picture
At the moment, it is a market where levels matter more than grand narratives. If support holds, plenty of charts still have room to run. If those support zones start giving way, especially in crypto and some of the more stretched areas, the tone could change quickly.
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.
