 Hello and welcome to the Monday market update with me, Dave Madden. Today's date is Monday 25th February 2019 and the time has just gone 11.45 GMT. It's been a fairly positive start to the European session after a very strong finish in Asia overnight. Essentially, the big story of the day is positive news in relation to US-Chinese trade. President Trump said that there was substantial progress made in trade talks and on top of that the self-imposed early March deadline for tariffs to be raised on Chinese imports have not been set back. So in the last few weeks we've heard not much from the US and China in terms of trade but what we have heard has broadly been positive. There has been some suggestions that the deadline for the increase in tariffs is going to be set back and now we've had that confirmation. So I saw a major push higher in the stock market over in Shanghai and we're seeing a positive start to the European session and also respecting higher gains or respecting the Dow Jones and the S&P 500 to open higher. So the big story of the day is a global equity sentiment has been raised on the back of improved trading relationships between the US and China. That's probably, let's say, by far the major story of the day. Out of that, it's been a fairly quiet day in terms of economic indicators. So I'll start off by taking a look at the FTSE 100 and see how that's holding up. So the FTSE, like most European markets, has been bouncing back since December and we can see here that volatility has been relatively low in the last few sessions. So the bounce back from December is still very much still in play. We just have failed to actually make any significant progress beyond the highs of mid-February. We're currently trading at 7,180. This region here, 7,220, appears to be a big metric. It acts as a port on a couple of occasions and the market was lower in September and even though we have traded above it, the market is really fairly difficult to actually hold above it and press on higher from there. So we're still hanging around in that region for the time being. The upper trend that we've been in place since late December is still very much in place. If you do manage to press on higher from here and if you can, take out 7,220 that area. We could look ahead beyond that up to this area here, which comes up to this area of 7,230,35 this area here for mid-February. I should be going beyond that. Keep an eye out for this red line here, the 30 moving average and that comes into play at 7,290 and if you go beyond that keep an eye out for the psychology important 7,300. If you do, though, move to the downside and if you take out the recent notes of 7,141, we could look ahead and back down toward this area here in 7,065 and a move below that could take us back down towards this yellow line here, the 180 moving average which comes into play just south of 7,000. Take a look at what's going on over in Germany. So the German market has pressed another multi-month high this morning. The upper trend that's been in place and bounce back that's been in place since late December is still very much intact. We've got a new multi-month high today and I've not seen it since early December and if the market does manage to press on higher from here, we could be looking at targeting 11,600. It's a big psychological number and if you go beyond that, keep an eye out for the 11,700 region, this price area here. It acts as a fairly decent support in the first few months of 2018 so might like to have a persistence if it should the market press on higher from here. If, though, the market does manage to turn over on itself, there could be some areas for support to keep an eye out for could be where this trend line comes into place in around the 7,350 area and a move below that could bring the 180 moving average into play. Notice how it acts as resistance and both support in the last few weeks and if a metric has acted as support and our resistance recently, it makes it more likely to act as support and resistance in the near term. The 180 moving average comes into play just north of set of 11,230 and if you do drop below that, the big psychological important 11,000 to big figure could then potentially act as support. If we draw a line between the highs of June 2018 and July, we get this trend line along here. I know we traded north of it on a couple of occasions in September, but we get this trend line along here and we can see now that the market has managed to just about hold above that and essentially, if we hold above that trend line, it's likely we could see a further move to the upside. We should before back below that trend line, that trend line resistance may start to act as a trend line resistance yet again. Take a look at what's going on over in the US. Start up at the Dow Jones. Very similar picture to what we've seen on European markets. The Dow Jones had a major bounce back since late December. The market's been pushing higher. We've now moved firmly above the eternity moving average, this red line here, which comes into play at 25,097. We're currently expected to open around 26,165. If there are, I can press on higher from here. We could be looking at targeting the late October high of 26,278, this area here and if you go beyond that, we could be looking at testing the old time highs in October and if you go beyond that, we could be looking at targeting the 27,000 number. If the market does manage to drift lower, we could see support coming to play from this red line here, eternity moving average, which I can say comes into play just south of 26,000. It's also worth keeping an eye out for this trend line here. If you draw a low between the lows of February 2018 and April and May, you get this trend line along here. It was just respected reasonably well back in October and November, granted it's about to trade below on a few occasions, but this trend line was acting as support for most of 2018. It managed to act as resistance on a couple of occasions in 2019 and that was potentially acting as support again. If you do drop below the trading moving average, keep an eye out for this trend line, which comes to play just south of the, just in around the 25,000 mark. Take a look now at the S&P 500. I'll start off by drawing a trend line between the lows of February 2016 and the lows of November 2016. We get this trend line along here. We can see similar to the Dow, it was well respected back in October and November. Once the market managed to actually break below it in December, we saw an aggressive set off to the downside. Now we're looking at the subsequent bounce back and similar to the Dow, the respected trend line for the S&P 500 is managed to act as resistance on a few occasions, then acts as support here and has been acting as support since and now the S&P 500 is predicted to open at multi month highs, levels that seem to be December. If you can press on higher from here, we could be looking at the 7,817, 2,820 region, this price action here. Notice how on a few occasions the market tried to get above the 2,820 mark, we couldn't quite get it above it. If we can manage to break above that, that would be very important significance given that the price area managed to act as resistance on a number of occasions at the back end in 2018. So if we can break above that, we could be looking at heading back up towards this area here, the the lows of mid-September, 2,866, and if we go beyond that, we could be targeting 2,900 and a movie on that could take us up towards the all-time high of 2,940. And if we go to the downside, may find some support of this up the 2,950 moving average which comes to the play at 2,748. And below that, back towards this trend line here in around the 2,700 mark. I'll take a look at what's going on in gold. So gold's been in a fairly solid upward trend. It's been bouncing back since mid-October but really since about mid-November, it's been in a solid upward trend in a series of higher highs and higher lows. And while we hold above this area here in a 1,320, it's likely to see further highs. It's likely to see the upward trend continue. And if you can press on higher from here, we could be looking at targeting the 1,350 area. If you go beyond that, we could be targeting this region in here at 1,366. Should we see a size of break below 1,320, we could see support come into play in around the 1,300 mark this area here. And even if you drop below that, we could be heading back down towards the 1,276 area in around here. Take a look at the oil flow starting off at Brent. So the oil market, sort of like the equity market, has been pushing higher on the news on the improved relations between the US and China. There's been a fairly reasonably strong correlation between the upward move in the equity markets and the rebound in oil. So starting off at Brent here, all sorts of rebound in late December like the equity markets has been pushing higher. We've gone on to print multi-month highs, levels not seen since November, so like the three-month highs. If you can't manage to press on higher here in Brent, we could be looking at targeting this area here, the mid-November high, which comes into play at 68, it's about 36. And at the downside, we could see support come into play from this line here. We see it actually had persistence on a few occasions at 63, it's about 35. And even if you drop below that, support might come into play from this blue line here, the 50 moving average, which comes into play at 60, it's about 30. 60, it's about 32. And obviously, if you look to kind of press on higher here, we could be looking at targeting the psychology important, 70 bucks a barrel, and then also keep in mind of the 20 moving average on the, which comes into play at 70, spot 80. It's a fairly similar chart now for WTI, which you should take a look at. WTI has also been mounted back since late December. We can see here that even though the size of the moves have been relatively small, we have reached multi-month high. It's a level it's not seen since November for WTI, so it's clear that at the markets, continuing to bounce back from the major sell-off at the back end of 2018. If you can press higher from here, we could be looking at targeting this area in around here at 58, spot 10. And should we go beyond that, we could be looking at targeting the psychology important, 60 bucks per barrel. And moving to the downside, may find some support in around here, in 55, spot 45. And below that, support might come into play from this blue line here at 51, spot 48. And of course, the move below that could take the psychology important, 50 bucks per barrel into sight. Take a look now, also going on at the Euro versus the US dollar. So the Euro dollar has been broadly speaking in a downward trend since mid-January. Move to the down, see a lower low, a lower high, lower low. We have been bouncing back in the last few sessions, but if you do look, if you do kind of press on higher from here, resistance may come into play in on the 114 area in around here. And then beyond that in around the 115 area. And you can see here the high of January almost kind of coincides with this red line here, the fifth, the 30 moving average, which comes to play in around the same area in around the one spot 15, 16 area. Should the wider trend to the downside continue, as you take out this low here, we could be looking at any back down towards one spot 12, 16. And then if it should be going below that, that could take us back down towards this area in around here at one spot 11, one spot 11, 10. I'll take a look now on what's going on on the pound versus the US dollar. So pound down is broadly pushing higher since mid-December. So a couple of, sorry, mid-December rather. So for a couple of months, starting as you move into the upside, we've managed to retake the attorney moving average, this red line here, which comes to play in around 130. If you could hold above that, we could be looking at target heading back up towards the one spot 32 area. And he moves to the downside, may find some support in around this blue line here, the 50 moving average in at one spot 2870 down to around 128. That is this region here may act as support. We can see in a few occasions, the 50 moving average was traded below us, but the market managed to kind of hold on the most recent occasion and hold above it. So in that region, I would say between 128 and one spot 2862. I'll take a look now at the week ahead. And the week ahead article can be found on our platform, if you go to, sorry, on our website rather, if you go to cbcmarkets.com and under news and analysis, you'll find all the updates by myself and the other analysts around the world produce. So starting with tomorrow, on Tuesday, we have the Bank of England inflation hearings report on Tuesday. On Wednesday, some of these updates are now obsolete given the change in the news, but what is still relevant is the testimony from Jerome Powell, the head of the Federal Reserve, and that's coming out on Wednesday. On Wednesday, we have Full-Year Figures from ITV. On Wednesday and Friday, we have Canadian Figures, we have Canadian CPI and Canadian GDP. That's Wednesday and Friday. On Thursday, Full-Year Figures from Aston Martin. On Thursday, we also have Full-Year Figures from Rolls-Royce. On the week ahead to Tuesday and Thursday, we have numbers from a number of US companies, Jesse Penny, Macy's and Nordstrom. On Thursday, we have a fourth quarter US GDP numbers and on Friday, we have the very different PMI manufacturing reports for many countries around the globe. One last thing before I go, if you have any comments to make on this video or any of the other videos we've made here at CMC Markets, please feel free to leave a review on good reviews. Thank you very much.