FTSE 100 Maintains an Upward Drift Following Friday’s NFP Report
- The FTSE 100 is short-term bullish above the February 29 low and price may reach the December 12 high of 6322.
- The U.S. labor market added 242k new jobs in February, which may keep stock markets bullish.
- There are no market moving events on deck today.
The FTSE 100 (FXCM: UK100) is short-term bullish above the February 29 low of 6034 and may reach the next resistance level inline, which is the December 12 high of 6322. Traders who are not already long will probably see a pullback to last Thursday’s low of 6107 as an opportunity to add to their bullish exposure as the risk/reward ratio favors long positions in the 6107 to 6034 range.
On a break to the February 29 low of 6034, the trend turns bearish and FTSE 100 traders may target the February 24 low of 5839 as it’s the swing-low in line on a break to the February 29 low.
The U.S. labor market added 242k new jobs in February and a net revision to January and December of 30k. This suggests that the economy is doing better than economists expected and may translate into stronger stock markets. The report also showed that the labor force participation rate increased and wage growth moderated, factors that may also aid in delaying Fed rate hikes.
There are no market moving events on deck today.
FTSE 100 | FXCM: UK100
Created with Marketscope/Trading Station II; prepared by Alejandro Zambrano
--- Written by Alejandro Zambrano, Market Analyst for DailyFX.com
Contact and follow Alejandro on Twitter: @AlexFX00
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