 Hello and welcome to the week ahead video with me, David Madden. Today's date is Friday, the 9th of October 2020 and the time has just gone 1242 British summer time. And I'm looking ahead to next week, which is Monday the 12th until Friday the 16th of October. And before we take a look at the charts and what's going on in terms of the big events next week, let's take a quick recap of the big events of this week. Right now we're seeing broadly speaking between European and US equity markets are in fairly decent condition. There's a lot of hope out there in relation to the Democrats and their Republicans striking some sort of stimulus package in relation to a fiscal response to the COVID-19 crisis. Although there is both sides just politically releasing me far apart. It could be a case of that traders are maybe getting a bit ahead of themselves. But it seems like President Trump was going to do individual stimulus packages in relation to the airline sector or maybe donning out traffic or daughter checks to US citizens. Nancy Pelosi of the Democrats is more keen to do kind of a one size kind of one grand package rather than bits and pieces. But Nancy Pelosi also said she's somewhat kind of hopeful that some sort of an agreement can be reached. And with that, we've seen a decent enough move in stock to last few days. This year is the FTSE 100. The bad news is the FTSE 100 has been kind of moving to the downside the last few sessions. So it's been underperforming in relation to some of the DAX and the S&P, which we'll look at in a moment. On the flip side of things, we can see that on the last few sessions, as I just mentioned, sentiment has increased in relation to the hopes of a COVID-19 coronavirus stimulus package from the US. We can see that the FTSE has been pushing higher. We're back above the kind of psychological important 6,000 mark. The last few sessions, the mark has been moving higher. If you press on higher from here, we could be looking at targeting the 100-day moving average, which comes to play at 6,096. Or it may be up towards the region of the mid-September high in at 6,126. Conversely, if you have a decent move to the downside and we can continue in the broader, wider downtrend, we could be looking at testing the lows of early October in around 5,883. If you move below that, we could head back down towards 5,800, 5,767. Notice how, on a few occasions, this zone here acted nicely as support. That area seems to be fairly significant in terms of support. Any break below that could point to further losses, could take us back down towards 5,660. Take a look at what's going on over in Germany. Even though health, one of the other topics of the day is that sadly we're seeing a pretty high increase in the rate of new COVID-19 cases. The World Health Organization, recently said we've had, you know, a surge in cases and fresh record highs in terms of daily increases, but that really hasn't shaken European markets. As you can see here, the DAX has been a nice upward trend the last few months. Granted, we had a fairly decent correction into late September, but since then we've been pushing higher. So we've had the higher high in the late September, the higher low in early October, and we're pressing on higher again. So it's comfortably above its 50 moving average. If you're going to press on higher from here, we could be looking at going up towards 13,200, or maybe up towards the mid-September high in around 13,339. Beyond that, we could be looking at retesting the September high, and of course the highest level it's been at since February. On the flip side, if you do have a fairly decent move to the downside, we could see support coming to play from this yellow line here, the 100 moving average, but just below that metric on a few occasions acted as support. So that area of, say, down to 12,684, or down to 12,600 itself, that area could act as support should we move lower. I'll take a look now at what's going on after Germany on the US on the S&P 500. As I mentioned, the FTSE is underperforming these major markets. We've seen the FTSE broadly move lower the last few months. The DAX has been in pretty good shape, but if you take a look at the S&P 500, an all-time high in September granted had a very decent correction. You have the lower low, the lower high, the lower low, but notice how it received support from the 100 moving average here, and it's been pushing higher since. In fact, when the cash trading gets underway, we're looking to open that level to the last scene in early September. So things are looking quite positive on the S&P 500. While we hold above this blue metric, the FTSE moving average, it's likely we could see further gains. If we press on higher from here, we could be looking at targeting 3,500. If we go beyond that, we could be looking at targeting the September highs, which were all-time highs. If we do have a decent move to the downside and we take out the FTSE moving average, this blue line here, we could be looking back down toward this area here in around 3,300, and if we have a decent move below that, we could be retesting the lows in late September. Taking a look now at what's going on in relation to the currency markets. The pound is going to be in focus next week. We haven't seen, we've heard a lot of talk from the UK and the EU in relation to the trade deal negotiations. We haven't had a huge amount of action. The language has to be similar. Both sides are keen to get a deal. Both sides are willing to walk away if there's not a good deal on the table. There has been some progress made, but it appears that for the time being, fishing appears to be one of the more important issues. Not that long ago, Boris Johnson, the British Prime Minister, stated that if the bones of an agreement aren't put in place by the 15th of October, which falls next week, next Thursday, if that isn't in place by then, the UK team is going to walk away from the negotiating table. That could be a negotiating ploy. Maybe it is, but nonetheless, euro sterling, which we're now looking at here, is likely to be in focus. If you can see, the trend for the last few months has been at the upside, particularly in early September, so a decent move to the upside. Since then, market euro sterling has come back quite a bit. It's been trading at a smallish range the last few sessions, if you can hold above this blue line, the fifth of the moving average, which comes into play at a zero spot, 90, 59. If you can hold above that, it's likely at the wider uptrend could continue. If you press on higher from here, we could be looking at retesting this area here in a zero spot, 91, 57, and a decent break below that above that could put us on track for the late September highs. If you take on that, we could then be looking ahead up to the mid-September highs in a zero spot, 92, 91. If you do move below the fifth of the moving average, we could be looking at heading back down towards the 90 zone, and if you head below that, we could then be looking at heading back down towards the lows of early September in a zero spot, 88, 64. While we're on the topic of euro sterling, we'll also take a look at what's going on with the pound versus the US dollar, because you've got the likes of US retail sales and also US inflation numbers out next week. So we could see some volatility in the pound and the dollar as well. So the pound dollar had a nine month high or nearly a nine month high in September. But since then, we've seen a move to the downside. So we have the lower low, the lower high, the lower low. But in the last few sessions, we have been pushing higher again. So we haven't retested this blue line, the fifth of the moving average. Notice how it acted as resistance in mid-September. We are pushing higher, but we haven't gotten up to that metric as of yet. So are we going to get the point where we've run into resistance at that metric and it turns lower again? Or are we going to get the point where on this occasion, we have a meaningful kind of break above it, and then we press on higher from here. So if you do take out this blue line, the fifth of the moving average, in a one spot 30, 27, we could be looking at heading back up towards this area here, in a kind of 132, one spot 32, 69. And if you go beyond that, we could really get retesting the highs of September. Early September. And then to the downside, it could take us back down towards the kind of 128 area. And if you go below that, we could really get heading down toward this zone. The lows of mid to late September in around one spot 26, 75. And notice on a few occasions, this kind of general area acts as support. So a move below that could be quite significant. And that could take us back down to the lows in mid-July in around one spot 24, 80. In relation to the other big events of next week, U.S. banking season will kick off. Important season for U.S. banks, Goldman Sachs, Citigroup, Wells Fargo, JP Morgan, Bank of America, Morgan Stanley. We have full year figures from ASOS, the online fashion crowd. Their share price has been a very positive run. And the last few weeks of months, we've seen a decent move at the upside of ASOS. It's not too long ago that the stock was racking up all-time highs. Online shopping has become very popular in the last few months because of the pandemic. We have third quarter numbers out from Johnson & Johnson. Apple have a special event next week where there's talk of possibly an iPhone 12 being announced. Walgreens, Boots Alliance, they have fourth quarter numbers out. As I mentioned, the EU talks are going to be in focus. We have UK unemployment and claim accounts and average earnings. That's going to be of importance. As I mentioned, U.S. CPI and retail sales. We have trade numbers out coming from China to keep an eye for copper and the mining stocks on the back of that. We have third quarter numbers out from Delta Airlines. And also, as we do every single week, we have the U.S. jobless claims, which is coming out on the 15th. That's all from this video. Thank you for listening. Have a good trading week and good luck.