News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Oil - US Crude
Bearish
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Breaking news

British Pound sinks as EU Brexit negotiator Barnier says there may not be an EU/UK deal

Real Time News
  • 💶 Unemployment Rate (OCT) Actual: 8.4 Expected: 8.4% Previous: 8.3% https://www.dailyfx.com/economic-calendar#2020-12-02
  • Heads Up:💶 Unemployment Rate (OCT) due at 10:00 GMT (15min) Expected: 8.4% Previous: 8.3% https://www.dailyfx.com/economic-calendar#2020-12-02
  • Several member states open to continuing talks after December 31st deadline if a good deal can't be reached by then, according to a Senior EU Diplomat $GBP
  • The bullish engulfing candle is one of the forex market's most clear-cut price action signals for reversals and continuation. Learn more about this price action trading signal here: https://t.co/Yg6ecRZZNr https://t.co/05r8BcNRyt
  • Adds that some EU member states have become jittery as the Brexit endgame nears $GBP
  • EU Diplomat says still unclear if negotiators can bridge gaps on 3 key issues $GBP
  • Heads Up:🇬🇧 BoE FPC Meeting due at 09:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-12-02
  • 🇮🇹 Unemployment Rate (OCT) Actual: 9.8% Expected: 9.9% Previous: 9.7% https://www.dailyfx.com/economic-calendar#2020-12-02
  • 🇮🇹 Unemployment Rate (OCT) Actual: 9.8% Expected: 9.9% Previous: 9.6% https://www.dailyfx.com/economic-calendar#2020-12-02
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 94.23%, while traders in EUR/USD are at opposite extremes with 76.39%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/tOPLdyRuXM
The FTSE 100 at Risk of Trading Lower on Soft Commodities

The FTSE 100 at Risk of Trading Lower on Soft Commodities

2015-11-09 08:14:00
Alejandro Zambrano, Market Analyst
Share:

The FTSE 100 at Risk of Trading Lower on Soft Commodities

The FTSE 100 was not able to muster any major gains following Friday’s U.S. NFP result. The NFP print of 271k vs. the economist consensus of 185k, shows that the U.S. economy is doing far better than was expected.

The primary reason for the FTSE 100 underperforming was the steep decline in the basic materials sector, down by 1.82% on the day and the 2.23% decline in the utilities sector.

These declines are not surprising given the steep declines in world commodities following the U.S. Dollar breaching its 7 month range on NFP Friday. The Bloomberg Commodity index declined below its September low and is now challenging its August lows. We think it is fair to expect the USD to gain further and for commodities to drift lower in the weeks ahead, as the Fed are expected to raise rates. This should keep the FTSE 100 range bound or potentially tip it below 6300 making the very short-term trend bearish and prone to a bigger decline, in case we break 6255.

Sluggish Times To Remain in Place

There are no major market moving events in today’s session and the market FTSE index may remain range bound within the 6255-6487 range, with a breach to the upper limit probably triggering a rally towards the psychological level of 6600, and 6750 in case of an extension. If we breach the lower end of the 6255-6487 range, we may reach a 6100 level, (61.88% correction of 5875-6487 rally).

The FTSE 100 at Risk of Trading Lower on Soft Commodities

Created with Marketscope/Trading Station II; prepared by Alejandro Zambrano

--- Written by Alejandro Zambrano, Market Analyst

Alejandro Zambrano, azambrano@dailyfx.com | Twitter: @AlexFX00

Learn more about trading, join a London Seminar

To be added to Alejandro’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES