4th July 2017
Well we got the slow steady rise to the 7385 area as expected, hitting the resistance about half 3. The short there at 7380 worked well for a 20 point drop, and still running now. The ASX200 had a pretty bullish session today hitting its R3 level in a fairly steady climb. Gold fell sharply yesterday, breaking the 1231 support level, and looking like its heading down to 1215.
North Korea test-fired an intermediate-range ballistic missile toward Japan earlier today, escalating tensions over its weapons programs ahead of a meeting between the leaders of the U.S. and China this week in Germany.
The US markets are closed today for their Independence Day holiday.
Stocks in Asia dropped as a selloff in Hong Kong offset a rally in Sydney. The yen strengthened after North Korea test-fired a missile, while the Aussie dollar slumped as the central bank left rates unchanged.
FTSE 100 Outlook and Prediction
Bear Tuesday today and with the US closed so we may well have a bit of a slow one. The saving grace for the bulls is that the ASX200 put in a bullish performance and we do sometimes follow their move (both being commodity heavy).
I am still running my 7380 short from yesterday and am aiming for a dip down towards the 7315ish area, maybe just below that as we have a decent fib level at 7308 for today. That said, the 2 hour chart is bullish again after that rise yesterday, with support now at XXXX. May well take some profit there too.
If the bears do go for it, I am still watching for support at the XXXX level – worth trying a long here when/if seen. The daily charts are still bearish though, so the bulls have a battle to get back up to 7600 anytime soon.
The 30min chart is bearish to start with today, with a negative RSI divergence in the night, and the 200ema on the 30min holding as resistance.
So, expecting a slow decline down to XXXX really, retracing most of yesterdays rise. If the bulls were to break 7385 then 7405 looks very likely, and might see a stutter here. Bulls will need to be quick out the blocks today.
Want more detailed analysis for FTSE 100, DAX, Gold and S&P? Then please join our active members community.
What you get
- Daily Analysis pre market open (sent around 7am each day) for FTSE, DAX, Gold and S&P.
- Daily email pre market includes my trading plan for the day including ORDER levels, with stops and targets/limits
- WhatsApp and webinars group membership for discussion and realtime trade updates