CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open an account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open an account
✖

European Open: Wall Street to extend gains ahead of the break?

Article By: ,  Market Analyst
December 23, 2021 6:20 AM

Asian Indices:

  • Australia's ASX 200 index rose by 14.7 points (0.2%) and currently trades at 7,379.50
  • Japan's Nikkei 225 index has risen by 139.51 points (0.49%) and currently trades at 28,702.03
  • Hong Kong's Hang Seng index has risen by 37.95 points (0.16%) and currently trades at 23,140.28
  • China's A50 Index has fallen by -23.04 points (-0.15%) and currently trades at 15,741.19

UK and Europe:

  • UK's FTSE 100 futures are currently up 28.5 points (0.39%), the cash market is currently estimated to open at 7,370.16
  • Euro STOXX 50 futures are currently up 17.5 points (0.42%), the cash market is currently estimated to open at 4,234.56
  • Germany's DAX futures are currently up 53 points (0.34%), the cash market is currently estimated to open at 15,646.47

US Futures:

  • DJI futures are currently up 21 points (0.06%)
  • S&P 500 futures are currently up 6.25 points (0.04%)
  • Nasdaq 100 futures are currently up 4 points (0.09%)

Asian trade echoed yesterday’s cautious gains, after failing to pick up from Wall Street’s rally. We’re hopeful that sentiment can remain buoyant during the last full-day’s trade today, as many major exchanges close early on Christmas eve.

Initial studies suggest Omicron may not be as severe as Delta

A study from South Africa, which is yet to be peer-reviewed, provides a glimmer of hope that the Omicron variant may be less severe than Delta. This follows on from separate research from London’s Imperial College which estimates Omicron’s hospitalisation rate could be 40-45% compared to Delta’s. It is still early days and the data is deemed to be on the messy side, but such reports from South Africa are the closest thing we have to a leading indicator right now with this variant.

Russell 2000 shows the potential for a strong rally

One US market we’re keeping an eye on for some ‘catch-up’ gains is the Russell 2000. The small-cap index fell just under -15% since its November high, all the way back to the lows of its March to October range. Buyers have stepped in each time the market has pulled back to the 2085 – 2130 area since April, and it has been no different this week after the index printed a spike low just above 2100 and rallied once more. Moreover, it closed above tis 200-day eMA yesterday. Therefore, our bias remains bullish above 2100 with an initial target around 2250, where the 100 and 50-day eMA’s reside. A break above 2300 opens-up a run for 2360.

Keeping an eye on a potential oil breakout

As mentioned in today’s Asian Open report, WTI looks firm near the highs of a previous consolidation range so we are watching for a break of $74 to confirm (or assume) trend continuation. A direct break of yesterday’s low places that bias on the backburner.

FTSE 350: Market Internals

The FTSE 100 closed at its high for the day for a second day running and closed in on our initial target near the December high. From here we want to see the FTSE hold above 7300 and, with any luck, bulls can push this higher ahead of Christmas towards 7400.

FTSE 350: 4195.82 (0.61%) 22 December 2021

  • 287 (81.77%) stocks advanced and 57 (16.24%) declined
  • 9 stocks rose to a new 52-week high, 0 fell to new lows
  • 54.7% of stocks closed above their 200-day average
  • 51% of stocks closed above their 50-day average
  • 23.65% of stocks closed above their 20-day average

Outperformers:

  • + 7.37% - Provident Financial PLC (PFG.L)
  • + 5.50% - Syncona Ltd (SYNCS.L)
  • + 4.79% - SSP Group PLC (SSPG.L)

Underperformers:

  • ·-2.57% - Rentokil Initial PLC (RTO.L)
  • ·-2.21% - Hochschild Mining PLC (HOCM.L)
  • ·-1.65% - GCP Infrastructure Investments Ltd (GCPI.L)

 

Up Next (Times in GMT)

 

 

 

How to trade with FOREX.com

Follow these easy steps to start trading with FOREX.com today:

  1. Open a Forex.com account, or log in if you’re already a customer.
  2. Search for the pair you want to trade in our award-winning platform.
  3. Choose your position and size, and your stop and limit levels.
  4. Place the trade.

StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.

StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please ensure you fully understand the risks involved by reading our full risk warning.

FOREX.com is a trading name of StoneX Europe Limited, and FOREX.com/ie is a domain operated by StoneX Europe Ltd, a member of StoneX Group Inc. StoneX Europe Ltd, is a Cyprus Investment Firm (CIF) company registered to the Department of Registrar of Companies and Official Receiver with a Registration Number HE409708, and authorized and regulated by the Cyprus Securities & Exchange Commission (CySEC) under license number 400/21. StoneX Europe is a Member of the Investor Compensation Fund (ICF) and has its registered address at Nikokreontos 2, 5th Floor, 1066 Nicosia, Cyprus.

StoneX Europe Limited is registered with the German Federal Financial Supervisory Authority (BaFin). BaFin registration ID: 10160255

FOREX.com is a trademark of StoneX Europe Ltd, a member of StoneX Group Inc.

The statistical data and the awards received refer to the Global FOREX.com brand.

This website uses cookies to provide you with the very best experience and to know you better. By visiting our website with your browser set to allow cookies, you consent to our use of cookies as described in our Privacy Policy.

Through passporting, StoneX Europe is allowed to provide its services and products on a cross-border basis to the following European Economic Area ("EEA") states: Austria, Bulgaria, Croatia, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden.

Additionally, StoneX Europe Ltd is allowed to provide Investment and Ancillary Services to the following non-EU jurisdiction: Switzerland.

StoneX Europe Ltd products, services and information are not intended for residents other than the ones stated above.

Tied Agent Information: KQ Markets Europe Ltd with Company No. HE427857.
Address: Athalassas 62, Mezzanine, Strovolos, Nicosia Cyprus.
Services Provided: Reception and Transmission of Orders.
Commencement Date: 06/12/2022
Website: KQ Markets - CFD Trading | KQ Markets

We may pay inducements, such as commissions or fees, to affiliates or third-party introducers for referring clients to us. This is in line with regulatory guidelines and fully disclosed where applicable.

StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation. StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.

© FOREX.COM 2025