30th January 2017
FTSE 100 Support 7135 7120 7093 7087 7067
FTSE 100 Resistance 7165 7171 7195 7217 7250
Good morning. I hope you had a good weekend. The FTSE 100 ended last week fairly positively at 7175, but the futures prices have opened this week a bit lower, at the 7150 area. We still have that 7135 as fairly key looking support, but there is a chance that we get a rise to the top of the 10 day Bianca early this week at 7195. If the bears break 7135 then 7087 still looks likely, where we have the bottom of the 20 day Bianca. Of course, the big news story of the weekend was Donald Trump’s immigration policy. Already its being challenged in several quarters, and caused the dollar to decline.
FTSE 100 Outlook and Prediction
For today we still have that fairly key looking support at 7135, which is S2 for today and also that previous low area. If the bulls were to hold this then a rise up towards the resistance any 7165 (30min coral) and 7171 (daily pivot) looks likely to start the day. However, with the dollar weakening a bit then the FTSE is liable to rise if the usual pattern plays out. The ASX200 (Australia) had a drop to start their session but then held the 5650 support and saw a small bounce, so we might do the same. If the bulls manage to defend the 7135 level then we may even get a rise towards 7191 early this week, where we have the top of the 10 day Bianca channel. Above this then 7215 is the next area of note, where we have the 10 day Raff channel top.
Should the bears break 7135 then a trip down to 7087 looks pretty likely, where we have the 20 day Bainca channel, and also the daily coral at 7093. A long around this area is probably worth a go too. Could certainly be an interesting open today, as the bulls are on the back foot to start with and have a couple of crucial looking support areas to hold.