Hello and welcome to CantosCharts. My name is James Hughes from spread betting firm CMC Markets.

Today we're going to look at some of the major indices. We're going to look at the FTSE 100 and the S&P 500 in particular.

Now the same story really goes between the two. We've spoke about, over the last couple of days, the range trading that we've seen and the major indices really do highlight that.

But we've also got some key resistance and support levels as well as the moving averages really coming into play in a lot of these at the moment, especially the 200-day moving average which is considered as the most important one.

Now, looking at the FTSE over the last couple of months or so you can again see, which has been the major story in a lot of these moves at the moment, we see an aggressive move, an aggressive move lower, then this period of sideways trading. So that's been key over the last few days or so. We're really being capped on the upside by this. It's around 5,320 which is the key level on the upside. Again, it's been tested a number of times and if you look at the 200-day moving average as well, that's also acting right on that level. So it has really become an important level this 200 day and this 5,320/5,315 level. That is going to be the most important one.

Now looking at the things which have really moved this about, we've got again European sovereign debt and stress tests. The stress tests got the markets so worried for a long time, hence all the choppy movements we had running up to the release of the data, the release of the data which really didn't give us anything we didn't expect. So the markets weren't necessarily too overjoyed with what came out. It was slightly better, so the markets had a little bit of a move but couldn't break us out of this range and that has been the key thing for these major indices at the moment.

Again, the range on the bottom to the downside 4,800 which is around the lows for July at the moment to the upside at this topside level which we're looking at which is the 200-day moving average. So again, key to look out for are those two levels over the next few days or so.

A Similar picture on the S&P at the moment. Again, not quite as jumbled about, but we've got those same range trading situations. So we're pretty much talking about 1,000 and around 1,300 on the upside for the S&P at the moment. That's really what's dominating where this market goes.

Again, we've got that 200-day moving average sneaking in at the moment. We've had a number of breaks of it and we had, going back a few weeks, that death cross that we covered a few months ago. So again, the market has come up to these levels. We've got the upside level at the top there around 1,300/1,330. We've got the 200 day moving average and the market at the moment is undecided which way to go, which way to push to it.

Again, we're looking for if we get a break of the 200, we want that upside level to then hold which is above the 200-day moving average. But at the moment, it doesn't look like the market wants to go that way. We're chopping around a lot - aggressive move lower, aggressive move higher, then that period of sideways trading. Again, the same story as what we're seeing on a number of asset classes at the moment. So interesting to see over the next few days.

We're looking for a catalyst to move these things away. A catalyst to get the market moving and really, this is the S&P but for the FTSE as well we're looking to the US. The earnings season has given us some pretty spectacular numbers. Economic-wise, the US isn't doing so well, so it could be one of those two which really does give us the move either way. Some spectacular earnings numbers which push us through the upside, or some poor economic data out of the US that takes us down the other side.

Thank you for listening. My name is James Hughes from spread betting firm CMC Markets.