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
EUR/USD
Bullish
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
Oil - US Crude
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
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
Bullish
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
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Indices Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Wall Street: 0.01% US 500: -0.01% Germany 30: -0.19% FTSE 100: -0.28% France 40: -0.40% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/zxL5TzfUnp
  • US Dollar Price Action Setups: EUR/USD, AUD/USD, GBP/USD https://www.dailyfx.com/forex/video/live_events/2020/10/20/US-Dollar-Price-Action-Setups-EURUSD-EUR-USD-AUD-USD-AUDUSD-GBP-USD-GBPUSD.html https://t.co/zzMSzNAu7E
  • Renewed hopes of additional US stimulus combined with economic uncertainty increased the demand for Gold, Silver and other safe-haven assets temporarily. Get your market update from @Tams707 here:https://t.co/tdpnGJAdZp https://t.co/d3DlqqcAde
  • Commodities Update: As of 18:00, these are your best and worst performers based on the London trading schedule: Silver: 1.83% Gold: 0.39% Oil - US Crude: -0.03% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/V9jnip9o7w
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.81%, while traders in EUR/USD are at opposite extremes with 72.76%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/AqbJxwy3OI
  • Indices Update: As of 18:00, these are your best and worst performers based on the London trading schedule: US 500: 1.08% Wall Street: 0.93% Germany 30: 0.13% FTSE 100: 0.10% France 40: 0.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/YdA0uOcvxT
  • Overnight, RBA’s Kent had reiterated the message by the RBA Governor last week, that more monetary easing is on its way. Get your $AUDUSD market update from @JMcQueenFX here:https://t.co/Jq1ejeUf4Q https://t.co/16nQEIwC9i
  • webinar time... https://www.dailyfx.com/webinars/455809179 topics up for discussion today: 1) USD - do something 2) Stocks supported on stimulus hopes 3) Crosses cleaning up a bit? starting right meow https://www.dailyfx.com/webinars/455809179 https://t.co/zj9XN14BDv
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.82%, while traders in EUR/USD are at opposite extremes with 72.47%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/qMPdBfUArS
  • Heads Up:🇺🇸 Fed Evans Speech due at 17:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-20
FTSE 100 in Limbo, Pound Not Helping

FTSE 100 in Limbo, Pound Not Helping

2017-05-03 08:38:00
Paul Robinson, Strategist
Share:

What’s inside:

  • FTSE 100 caught between key levels of support and resistance, global laggard
  • British pound strength not helping
  • Key levels/lines outlined

For a longer-term view on the FTSE 100, or another market of interest, see our quarterly forecast.

This is what we had to say on Friday in regards to the technical posturing of the FTSE 100: We’re stuck between a rock and a hard place; not yet at support, but resistance looms overhead. Risk/reward from either side of the market is lacking, and on that the sidelines look like a comfortable place to be.”

Nothing has changed. The zone from ~7255/300 continues to act as resistance; yesterday’s high was 7254 and the market is turning down so far today. Looking lower, a break of the Monday low at 7197 will likely lead to a test of the June trend-line currently around 7155 and rising.

Risk appetite, globally, is healthy – the DAX is quietly consolidating in record territory, the S&P 500 is hanging out just below the March 1 record high, and the Nikkei 225 has even joined in lately with a strong push towards its best levels of 2017 (market closed for holiday).

And the FTSE 100? Not looking so healthy; ‘Brexit’ and British pound strength are at work here. The one-month correlation between GBPUSD and the FTSE is a statistically significant -71%. What’s good for the pound is bad for the 100-index given the majority of its constituents’ earnings come from outside of the UK; when profits are converted back into pounds these companies get a currency conversion boost. On this end, GBPUSD looks like it wants to continue to rise, and if that is the case then the footsie will be served no favors by the currency market.

Moving back to the technical landscape, expectations are for the market to continue to bounce around between beforementioned support and resistance before eventually coming to a resolution. A strong push above 7300 will bring the trend-line off the record high into view, along with the trend-line running overhead since 2013 (it’s put a lid on the market on several occasions since January). On the down-side, a break of the June trend-line will quickly bring the important 7100 area into play. A clean break below 7100 would be a rather bearish occurrence, especially if it is doing so without any downside participation from elsewhere in the globe.

FTSE 100: Daily

FTSE 100 in Limbo, Pound Not Helping

Created with TradingView

Paul conducts webinars every week from Tuesday-Friday. See the Webinar Calendar for details, and the full line-up of all upcoming live events.

---Written by Paul Robinson, Market Analyst

You can receive Paul’s analysis directly via email by signing up here.

You can follow Paul on Twitter at @PaulRobinonFX.

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

DISCLOSURES