Stock Indices Hit by More China Property Woes​​​ -

Article by IG Senior Market Analyst Axel Rudolph

FTSE 100, CAC 40, Nasdaq 100 Analysis and Charts

​​​FTSE 100 drops further as UK retail sales fall by more than expected

​The rout in the FTSE 100 is ongoing as UK retail sales dropped by 1.2% month-on-month in July, worse than an expected 0.5% drop and after a downwardly revised 0.6% rise in June. The UK blue-chip index is fast approaching its 7,228 July trough. Between it and the 7,204 March low the index is expected to at least find interim support.


​Minor resistance can be found at the 24 March low at 7,331 and more significant resistance between the May and June lows at 7,401 to 7,433.

FTSE 100 Daily Chart

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CAC 40 slide approaches major support

​The slide in the French CAC 40 index has practically reached the 200-day simple moving average (SMA) at 7,146 on global risk-off sentiment triggered by China growth concerns, US yields rising to 2008 levels and after China’s Evergrande filed for bankruptcy protection in New York. ​Below the 200-day SMA the June low at 7,105 might offer minor support ahead of the more significant May and July lows at 7,083 to 7,053.

​Resistance can be seen between the early August lows at 7,210 to 7,218.

CAC 40 Daily Chart

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Nasdaq 100 slips to two-month lows

​The Nasdaq 100’s summer decline is ongoing as risk-off sentiment dominates among rising longer-dated US bond yields. ​The Nasdaq 100 on Thursday briefly reached levels last traded in mid-June and nearly touched the early June high at 14,663. Below it further minor support can be found around the 14,530 late May high.

​Resistance sits at the July low at 14,920.

Nasdaq 100 Daily Chart

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