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, Ascent, Amigo, Delta Gold, Jangada, Kendrick, Kosmos, Surface Transforms, Savannah, Serval, Vaultz, Zanaga.
Markets are in that familiar end-of-month holding pattern: momentum in pockets, chop elsewhere, and plenty of opportunity for traders who pay attention to trend channels, 50-day support, and RSI behaviour.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Below is a concise technical read on the major indices, crypto, gold and a handpicked list of small caps that look interesting from a charting perspective.
Major indices
FTSE 100
The FTSE has cleared a key red resistance at 10,570 and is eyeing the rising channel top near 11,000. Short-term support on dips should be that former resistance at 10,570; the worst case if sentiment collapses would be the channel floor around 10,380.
RSI has been notably strong — stubbornly above 60 since late December and recently bouncing near 70. That says momentum is real, but also warns of overbought conditions that can snap back quickly.
DAX
Rangebound between the 50-day moving average at roughly 24,700 and nearby resistance around 25,300. A projected resistance line points toward 25,800 as the next plausible target if the slow market picks up.
First support on any pullback is the 50-day; the 200-day sits around 24,100 as the deeper safety net. RSI action shows a series of rebounds above the neutral 50 level — a quietly encouraging sign.
Dow
Holding the rising trend channel from November and the 50-day line near 49,000. Upside still possible toward the channel top near 51,000 over the next month. On a pullback, watch the 50-day and near-term support around 48,800.
Multiple recent RSI rebounds off the 50 level suggest underlying strength even if headlines get noisy.
Cryptocurrencies
Bitcoin
Trading in a tight band between about 65,000 and 72,000. The practical play is buying dips toward the low end of that band. A daily close back below 65,000 could invite a drop toward the channel floor near 57,000. A breakout above 72,000 would open the upper 70s, with the 50-day approaching low 80s as a later target.
Ethereum
Mirrors Bitcoin’s posture: stuck between roughly 1,900 and 2,150. Buying nearer 1,900 while the range holds is sensible. A decisive daily close under 1,900 risks a move down to the channel floor around 1,570. Upside resistance sits near 2,400.
Gold
Still in a broad rising channel with a recent bounce near the midpoint. Floor sits around 4,580, top nearer 5,200. A clean end-of-day close through 5,210 would open a run toward the prior spike near 5,600. Recent price action included a classic bear-trap style fakeout, so a cautious breakout confirmation is valuable.
Small Caps
Brief notes on names showing interesting setups. Key rules repeated across many: stay above the 50-day where possible, prefer trades that respect recent breakout levels, and use RSI 50 rebounds as confirmation.
- Ascent Resources — Closed above both the 50-day and 200-day (around 0.38p and 0.43p respectively). Bullish divergence into the recent low. Target the top of the channel near 0.65p while above the 50-day.
- Amigo — Riding a rising trend channel and poised to test higher resistance after recent gains. Short-term resistance around 2.25p; broader targets into the threes and potentially toward 4.12p if momentum continues. Keep a floor near 1.75p.
- Delta Gold — One of the brighter stories on the Aquis market with a strong gap-up and consistent bullish candles. Broken resistance at 36p now acts as support; look to the channel top near 52p.
- Jangada — Held well after a recent 1.4p placing. Short-term objective around 2.25p, with next higher resistance in the 3p area once we get a daily close through 2.25p. Keep above 2p.
- Jubilee Metals — Rally looks to be resuming after January gains. Broke resistance near 4.3p; upside toward 6p possible next month. RSI support in the low 40s looks constructive.
- Kendrick — One of the standout movers of the year so far. Having cleared the neckline near 1.5p, the chart projects resistance up toward 2.9p. Keep an eye on the recent support around 1.6p.
- Kosmos Energy — Broke the rising channel top with targets at the prior red resistance line near £2.15 (give it a couple of months). Key support to hold is around £1.40.
- Surface Transforms — Cleared a resistance line from last September (1.8p) and looks set to test the channel top near 3.5p. 50-day and 200-day lines are converging and rising — a de facto golden cross in progress.
- Savannah Energy — Recovered since the November wobble and has formed a rising channel. Broke recent resistance around 9p; a measured target near 13–13.5p is reasonable while moving averages slope up.
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Oscillate — Broke a previous target near 0.65p and has gap-filled to the upside. Targeting the channel parallel around 1.05p. Watch for the usual fundraising risk, which can swing small caps.
- Vaultz — Rebounded above a rising 50-day near lows. Gap to fill up to 3.15p, with a stretch target of 3.5p by next month while staying above the 50-day near 2.3p. A daily close above 2.85p would be a cleaner breakout signal.
- Zanaga — A quieter setup but showing a bear-trap bounce off a November uptrend and the bottom of a falling channel around 5.7p. Potential to retest the range top near 9p; a lift back above neutral RSI 50 would be a safer sign to enact longs.
Practical takeaways
- 50-day moving averages remain a reliable first line of support for many indices and small caps. Respect them.
- RSI 50 rebounds are recurring confirmation signals across stocks and indices — they matter.
- For cryptos, trade the range until a decisive daily close occurs outside it. Dips toward the lower band are the higher-probability buys.
- In small caps, prefer confirmation via end-of-day closes above recent resistance or the 50-day before committing full size.
Markets will continue to move on a mix of technical momentum and headline noise. Keep risk tight, let winners run when the structure supports them, and use moving averages and RSI behavior as your decision filters. More updates to come as the tape evolves.
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.
