The retreat from the high of 7055.2 has established a falling trend line as seen on the 4-hr chart and amid the bearish 5-DMA and 10-DMA crossover could yield a re-test of the rising trend line support seen today at 6953. A daily close below the same would mean the recent record high is unlikely to be challenged in the short-run. On the higher side, only a...
The index staged a minor rebound from the rising trend line level of 6938 and closed at 6980. However, that does not mean we are out of the woods yet. A daily close back above 7000 would add credence to the rebound from rising trend line and open doors for re-test of record highs around 7120 levels. On the lower side, selling is seen gathering pace once the...
The sharp decline in GBPUSD sent UK100 to previous record high and the price now is testing the bottom of a weekly channel in addition to the X point level. Interesting price zone to monitor for potential reversal patterns with weekly double top scenario
It's a bigger setup, one can stay long till 81xx. But I prefer to short at after 81xx (marked on the chart)
The index could see a gap down opening around or below 7000, which is the double top neckline, however caution is advised since 5-DMA and 10-DMA are yet to confirm a bearish crossover and more importantly 10-DMA is still sloping onwards. Hence, we could see a minor correction… although it is to be noted that bearish invalidation is seen only above record highs....
I can't help but notice the possible topping pattern on this index. We can have a nice low risk short.. Trade Safe s0nic
Bearish price RSI divergence confirmed on the 4-hr chart suggests the index is due to test 7000 level and may actually cut through the same in which case losses could be extended to 6950 (4-hr 50-MA levels). On the higher side, only a daily close above 7129.8 levels would signal continuation of the bullish run.
The mining heavy FTSE100 index clocked a record high of 7129.8 levels before retreating to 7090.00 levels. Outlook On the 4-hr chart, we have a bearish price RSI divergence which suggests a temporary top is in place at 61.29 levels and the index could retreat to strong support level of 7000. A daily close below 7000 would open doors for a much deeper...
Given the positive action in the Asian equities, rally in oil prices to one-year high and a smart rebound in the mining heavy index from 7000 levels suggests we are likely to see prices clock a record high above 7122 levels. However, caution is advised since we are seeing a renewed surge in the long duration bond yields across the globe. The steepening of the...
Despite a gap up opening in Asia on Sterling crash and a move higher to 7070, the subsequent retreat to 7030 suggests the equity markets are no longer impressed by the slide in Sterling and the over stretched bullish positions are at risk of being squared off, thus opening doors for a move lower to 6980-6950. On the higher side, hourly close above 7070 would...
The weekly money flow index has breached rising trend line and is turning lower from the overbought territory. On the daily chart, both RSI and money flow index are yet to hit the overbought territory, hence we could see prices revisit record high level around 7130, especially now that GBP/USD has breached 1.27 level. On the lower side, 6973 remains a strong support.
Our long term bias in UK100 remains positive and this week has got off to a good start with a very solid move higher. Last week we noted a morning star formation to target a move higher and this has played out nicely. With BOE hinting at further rate cuts and the continued quantitive easing strategy supporting the long side, further upside is expected. We look to...
Sharp rise in the FTSE100 last week to 6909 levels suggests the two-week losing streak/corrective move from 6955.3 levels has ended and the index is likely to see a dip demand so long as the weekly 5-MA and 10-MA around 6850 is not breached on the daily closing basis. The doors remain open for a rise to 7K, although caution is advised till the index trades below...
The index has rebounded from the confluence of rising trend line and 50-DMA levels seen at 6800. The rebound happened due to two reasons – • Upward revision of the second quarter UK GDP & • Deutsche Bank news – US Department of Justice (DOJ) has downsized its penalty from $14 billion to $5.4 billion The quarter end/month end/week end close if happens above...
Despite the rebound from 50-DMA on Wednesday, the subsequent retreat from the high of 6941.8 on Thursday and a daily close at 6865.1 levels (inverted hammer formation on the daily chart) suggests prices are likely to test 6800 (zero figure + rising trend line support + 50-DMA). A day end close below 6800 would open doors for 6600 levels and would be a signal of...
A nice Short Set up "may" be forming on this index. I will be on the SHORT bias as long as it is below 6962 level.. If it goes in my way, first resistant will be 6800 area and further 6680 area. Trade Safe. s0nic
Daily chart shows – Nice rebound from rising trend line support yesterday Prices currently flirting with falling trend line hurdle drawn from Aug 15 high and Sep 2 high Prices have rebounded from 50-DMA today Outlook A rebound from rising trend line support if followed by a daily close above the descending trend line would open doors for 7K levels....
FTSE index has restored its upward move, however in short term looking for the initial test of 6830 support area before next leg up.