Technical analysis for FTSE 100 for 2nd September 2025
A slow and steady drop off the 9220 level yesterday and that remains the line in the and with the R1 and 30m 200ema here, so we may well see any test of that again today see the bears appear for a bit of a Bear Tuesday to play out later. The US returns from their holiday and a rise and dip would play out well on that as they won't like seeing their markets starting on the back foot. It feels like a short the rallies day today.
If the bulls push past the 9220 area then I am looking at the 9262 area as the higher resistance as we have R3 here, along with the daily resistance level - as such if we see this level then a short here is worth a go. The general sentiment at the moment is bearish to neutral as well for today, hence thinking that shorting the rallies is the play. The 10d Raff channel is heading down still, but with the 9180 holding yesterday the 2h chart is bullish, and has weak Hull MA support at 9178.
For the supports then below the 9172 S1 level the the bears will likely manage to take it down towards the 9150 level which remains as support for the moment, and we have S2 here along with the green daily coral. If we were to break 9150 then we will likely see a lot of traders hop on that break and a slide down to the 9100 area is possible, with a brief pause at the 9126 daily support level, along with S3 also being here.
That said, I would like to see the 9150 level hold for some more upside as the week progresses. I think a bullish start to the USA session will also pull the FTSE100 up with it.
On the news front we have Eurozone CPi at 10:00, with a forecasted rise to 2.1%. Then at 1445 August Manufacturing PMI from the US, followed by ISM PMI at 1500. Trump is then also making an "announcement" at 1900.
I am thinking a similar rise and dip may well play out on the DAX40 and the S&P500 as well, with 24158 and 6485 being the resistance levels to lookout for.
Good luck today.
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