 Hello and welcome to the Monday market update with me, David Madden. Today's date is Monday of the 11th of June 2018 and the time has just gone, 11.10BT. Well, equity markets in Europe have certainly gotten off to a fairly decent start, even though we had a fairly unproductive G7 meeting in Quebec over the weekend. President Donald Trump stated that G7 members should have tariff-free trading with each other and with that he really means other members of the G7 should cut their tariffs on U.S. imports. The American president even threatened to actually stop trading with countries which have trade barriers for U.S. goods. That being said, traders have seemed to have shrugged this off. Traders are getting used to the way President Trump operates. He seems to kind of take a hard line with his political opponents with the means of actually getting a reaction or retaliation or a compromise out of his political opponents. So the time being, traders are overly concerned about the harsh words from the U.S. president. But the U.S. president is also introduced again today because there today he's going to meet with the North Korean leader Kim Jong-un in Singapore. This meeting will be a milestone in relations between the two countries and also for the wider Far East in terms of geopolitics. So there are the major stories that have been going on over the past number of days. If you take a look now at the week ahead, the week ahead article can be found on a website under the news and analysis section that has run through some of the major events that are planned for the week ahead. So tomorrow and Tuesday we have first figures on Crest Nicholson, the British home building company. Tomorrow and Wednesday we have some important economic data out of the United Kingdom. We have wages, we have unemployment and CPI, particularly on the wages component. In recent months, the average earnings in the UK have been outpacing the inflation rate, which is obviously beneficial to the British consumer. And the more money the British consumer has in their pockets, the more likely to go out and actually spend it. So the cooling of inflation in recent months has been met with a pickup in earnings growth, which is obviously positive to see. On Wednesday we have the Federal Reserve meeting. The US central bank are widely expected to raise interest rates by 0.25%. But the press conference afterwards is going to be the main focus of the meeting. Is that expected? The traders are still very much divided. Are we going to see a rate hike as well in September and in December or just a rate hike in December? So the guidance that the US central bank gives is going to be of major importance on Wednesday afternoon, Wednesday evening. Thursday, European central bank meeting, nothing is expected in relation to policy change. But once again, the guidance is going to be key. Last week, Jens Weidmann, a policymaker at the ECB, said it was plausible that the European central bank could wind down their stimulus package, their bond buying scheme this year. So traders are going to be listening out for any clues to future policy of the ECB. And on Thursday, we have industrial production and retail sales figures from China. And also on Thursday here in the UK, we have a couple of court majestic wines have their full year figures out. So I'll take a look now. A couple of the major markets. I'll start off with a few of the indices and then go to a couple of commodities and then on to some major currency pairs. So just went for the chart to look now. So as you can see here, the FTSE 100 is still very much in the upward trend. It's a very bullish run from late March up until late May, a couple of months. It has since pulled back a small bit since then. But while we remain north of this price area here below in May at 75.91, the outlook for the FTSE 100 is going to remain bullish. We're not too far away from the old-time high, which was only created a few weeks ago. So should we continue to push it up from here? We could be looking heading towards 7,800 and then beyond that. The next big area to keep an eye on for will be 7,900. Should we see a break south of this low here, this level here in late May at 7,591? An exit area for potential support that could come into play is this area here, 7,482. And a move south of that could bring this red line here into play, the two of the moving average, which comes into play at 7,433. Take a look now what's going on over in Germany. The DAX is also in fairly good shape, not as positive shape as the FTSE 100. So as you can see here, it's had a decent one from late March to May. I like the FTSE 100, but once again, it took it back down. And once again, we seem to be stuck within about a 200-point range either side of this red line here, the two of the moving average. So the DAX here is broadly speaking, trading in around its two of the moving average, which comes into play in around 12,753. So if you continue to remain north of that, it's likely we could be looking at retesting 12,900 and then beyond that, we'll be looking at potential testing at the big psychological number of 13,000. I'll show you go beyond that. The May high of 13,200 will be the area to keep an eye out for. If you resize the break south of the trading moving average, keep an eye on 12,000 as an area for support. And if you resize the break below that, we could be looking at heading back down towards 12,400. Take a look now at what's going on with U.S. Second Markets to start off with the Dow Jones. U.S. Second Markets are in fairly decent shape. We're expecting the Dow Jones to open up a fresh multi-month high as the cash session gets underway. As you can see here, we're looking at levels not seen since early March on the Dow Jones. As the markets be pushing higher here in recent sessions, we can see that it's managed to hold above this blue line here, the 50 moving average and also this yellow line here, the 20 moving average and we're looking at opening up multi-month highs. We can see a steady increase in the positive momentum looking at the MACD indicator. So as the market is pushing higher, momentum is gaining ground. The momentum is with the buyer, so we can be more confident that this upward move is going to last. Next area to keep an eye out for at the upside will of course be the early March high of 25,507. And should we go beyond that, we could be looking at the high in mid-February at 25,821. Moves to the downside, may find support from this yellow line here, the 180 moving average, which comes into play at 24,784. And also this the blue line here, the 50 moving average, which comes to play at 24,555. Notice how in recent weeks both these two lines have acted both support and resistance in only a few weeks ago. And if the market does, if a moving average has provided support and or resistance recently, it makes it more likely to do again in the future. Take a look now of what's going on on the S&P 500. It's a fairly similar looking chart in that it's also tipped to once the cash session gets underway to be actually looking to be looking at a multi-month high, about a three-month high. So as we can see here on the S&P 500, similar situation, the high of the day session in the futures market is pointed to a high not seen since early March. The market is clearly coming up making a fairly decent upward trend. In recent weeks as the markets are moving higher, we can see a steady increase in positive momentum. So the momentum is with the buyer, so it's likely that this upward move can last. So the next year to keep an eye out for the upside will be the March high of 2800. So we've got beyond that, we could be looking towards 2825, this area here, which has a lot of consolidation. And we've got beyond that, we've been looking towards the January high and the old-time high of 2877. Moving to the downside, may find some support from this blue line here, the 50-day moving average, which comes to play at 2693. Once again, I'm just going to support and resistance in recent months. So it makes it all the more likely that it will do so again. Take a look at what's going on in the oil markets. First off, with the Brent crude oil. So the oil market has been essentially been in a solid upward trend for about 12 months now. We have seen a slight cooling in the price of oil in recent weeks. So the big picture view, the kind of more medium to longer term view, is likely that this upward trend is going to continue. It's been a strong upward trend, like I said, for 12 months. Class example of higher highs and higher lows. So if the wider trend does continue, we continue to push on higher from here. We could be looking at targeting 78, 79, 80, and then up towards 81. But what's slightly concerning is the fact that in the last couple of weeks, we have seen a bit of a pullback. And this pullback might just be a correction, but it could also be the beginning of the market edging lower because after hitting a 42 month high here in May, the market then moved down to trading a lower low, a lower high, and another lower low. So if we do, we would need to take out the 79 area, this candle here before we actually become more confident that the upward trend is going to continue because we already have a lower low, lower high, lower low. We could be looking at it lower again. And if you do head lower, we could be looking at finding support in around 7310 or perhaps $72 or maybe even down as low as 71. So just keep an eye out for that. If you take off this low here on the 5th of June, which comes into play in around 7360 or so in around there, we could be looking at heading lower in the near term. But like I said, the big picture in the last 12 months has been very much the upside. So it's likely that the wider positive trend will continue. It's a similar chart on WTI, although WTI has been a bit weaker in comparison to Brent Crude in recent weeks and the sell-off that we've seen recently has been a bit steep, has been a bit deeper in the terms of the move to the downside. So the big picture is it's very much in an upward trend for the last year. As you can see here, had a fairly sizable sell-off. It's gone below the 50 moving average, gone below the WTI moving average on a number of occasions. You see it be hovering in around this area here in around the WTI moving average, which comes into play at $65.38. If you can hold north of the recent lows at $64.18, it's likely that that market could look to actually push higher again and look at retesting $67 or if you go north of this blue line here, the 50 moving average at $67.86. We could be looking any back up towards $69.70 and so on and so forth. Move to the downside. If you take out this low here at $64.18, we could be looking any back down towards $63 or perhaps even the kind of the early April low of $61.78. Take a look now what's going on in the currency markets. Take a look at Eurodollar and Poundstern. So after a fairly sizable sell-off, quite a substantial sell-off, the Euro suffered against the UF dollar. In recent months, we have witnessed a bounce back in recent weeks and so the market is pushing higher here, positive momentum is increasing, so the momentum is with the buyers and the market is in the near term appeared to be pointing higher, but we won't need to take out the $118.30, the potential to actually move on further from here and moving north of that could take us up towards $119 or as $120 itself and $120, that is a big psychological number. It's also in and around for the maturity moving average comes into play, so it would mean it would be additionally significant. It shouldn't move north of that level, but at the market, if this does a temporary pullback and we're looking for another leg lower, should we move south here again, we could be looking at testing one spot $16.17 and move below that, could bring us back down to one spot $15.10. As you've seen a bit of a broad UF dollar sell-off recently, it's a similar situation for the Pound versus the UF dollar in that we had a fairly sizable sell-off in April and in April and May and we have seen evidence of some bit of a comeback, but whether the market is just actually bouncing back or it's actually going to be a turnaround or is yet to be seen. After the very sizable sell-off here, the market has been pushing lower since late May, but it's going to run, couldn't really get above the $134.50 area here and managed to actually drift back lower again. The question is whether this pullback today is a breather before we actually take the next leg higher and look to actually retake, look to test and actually retake $134.50 and then beyond that head towards the maturity moving average, this red line here at one spot $35.95 or whether actually going to just drift lower again and if you do drift lower again, we could be heading back down towards $133. There's quite a bit of consolidation in around that in recent weeks and if you go south of $133, we could be looking at retesting the main lows of one spot $3204. Well, that's all for me this week. Thank you very much.