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. See our updated Privacy Policy here.

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
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
More View more
Real Time News
  • $ES from resistance to support now at the weekly low, testing a few different support elements here, also a 618 $SPX https://t.co/cchd5Rr92S https://t.co/G9jwiIlEjY
  • The $SPX is going to keep it interesting for us through this final trading session. The 50-day SMA is under strain, its 'quad witching' today, evergreen uncertainty over weekend and FOMC on the threat radar https://t.co/gLgVn8u6HJ
  • The S&P 500 and its counterparts are leaning into support as the end of the week nears. DailyFX's @JohnKicklighter discusses the possibility of a break before next week's FOMC and Evergrande deadline! https://t.co/R5Pr9k2xp8
  • You're Not The Only One Bored Of 'New' Apple iPhones https://t.co/T3ZXZ8wplw via @IBDinvestors
  • $USDCAD big test, right at the Sept. high https://t.co/D9baX3BGXf https://t.co/Sg2ySGIIY8
  • just about an hour later $USDCAD https://t.co/D9baX3BGXf https://t.co/B0c71AkZTl
  • Hedging Evergrande (3333 HK) is reportedly a near impossible task
  • Given there is a substantial risk from China's Evergrande situation with a possible technical default at the start of next week, I'll be watching Bitcoin as a 'risk' measure over the weekend. Here versus SPX as Shanghai Comp is 'tended to' https://t.co/OoudsWHFPy
  • The latest batch of US economic data suggests the economy is weathering delta variant concerns, increasing odds for a Fed taper announcement shortly. Get your market update from @CVecchioFX here:https://t.co/aioT8UU4IJ https://t.co/BhMSqkkV0E
  • $USD support hold at higher low $DXY now breakout after U of Mich Focus now shifts to the Fed for next week's rate decision. Quarterly meeting, so also getting an updated dot plot matrix and SEP https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2021/09/17/USD-price-action-us-dollar-rallies-to-sept-high-focus-shifts-to-the-Fed.html https://t.co/oJdrBqBkfp https://t.co/EsSn4XEB1g
FTSE 100 Trades Lower Ahead of UK Manufacturing PMI

FTSE 100 Trades Lower Ahead of UK Manufacturing PMI

Alejandro Zambrano, Market Analyst

Talking Points

  • The FTSE 100 trades sluggish as it is trapped between strong support and strong resistance.
  • In the short-term, the trend is bearish because following the April high of 6432, price has created a lower high on April 27 at the 6344 level.
  • This morning, Markit UK PMI Manufacturing for April is on deck and expected to rise from 51 to 51.2.

The FTSE 100 (CFD:UK100) remains sluggish as the April low of 6060 supports price and the November 4 high of 6461 caps it.

Price spent a considerable time supported and limited, by the 6060 and 6461 levels respectively. Between late February and early April, the 6060 level supported the FTSE 100, while price spent two months last year trying to breach the November 4 high of 6461.

It appears now that market participants are hesitating to act and are waiting for a breach to either the 6060 support level or the 6461 resistance level. As strong support and resistance trap price it could explain the sluggish price action since April.

In the short-term, the trend is bearish because following the April high of 6432, price created a lower high on April 27 at the 6344 level. Lower highs and lower lows create a downtrend. Short-term support levels ahead of the April 6060 low are last week’s low of 6222, the April 11 low of 6163, and the April 7 low of 6108.

The April 24 high of 6344 is a short-term resistance level, followed by the April high of 6432 and the November 4 high of 6461.

Overnight, the Caixin China PMI Mfg. for April declined to 49.4 from 49.7 and thereby failed to meet the Bloomberg news projection of 49.8. The business press cited this as a drag on Asian stock market indices, while the FTSE 100 has so far appeared to ignore this news. This morning, Markit UK PMI Manufacturing for April is on deck and expected to rise from 51 to 51.2.

With the UK PMI at level 51 in March, the output growth remained unchanged from February’s seven-month low and manufacturing job losses have been recorded for a third straight month. Rob Dobson, Senior Economist at Markit said that with the industry hovering close to the stagnation mark, it would struggle to make a meaningful contribution to GDP.

Our Stock Market forecasts for Q2 2016 are now live on the site. Download them for free.

FTSE 100 | CFD: UK100

Please add a description for the image.

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

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

DISCLOSURES