Technical analysis for FTSE 100 for 27th September 2023
Shares in Asia held to tight ranges and the dollar clung to a recent rally against the backdrop of a likely protracted period of higher US interest rates and a relentless property crisis in China.
US equity futures ticked higher after Tuesday’s losses on Wall Street pushed the S&P 500 and Nasdaq 100 1.5% lower. European share futures were steady, while a measure of global equities teetered on the edge of its longest losing streak in more than a decade.
Asia stocks traded mixed on Wednesday and benchmark U.S. Treasury yields were near multi-year highs, as investors sour on both stocks and bonds amid worries about the impact of higher-for-longer interest rates.
The dollar index further rose after hitting a 10-month high on Tuesday, while the Japanese yen came closer to a key level where Japanese officials are seen as potentially intervening to shore up the currency
FTSE 100 technical analysis for today, 27th September 2023
7590 was defended yesterday as the bears tried to push lower to test that 7550 area that is support on the daily chart. It's still there and looks like it may well get tested before month end so keep an eye out for that. The S&P500 is just trying to defend the daily 200ema at 4278 currently.
For today we may well see an initial rise to test the 7645 area once again, and the bears may well have a go here again as a double top with yesterday. We also have R1 and the 30m 200ema here.
Above this then the bulls will probably try and push up towards the 7684 R2 level.
Support wise then 7581 is S1 to start with, and a double bottom this time with yesterdays range. As such we may well see a bounce here.
It's worth noting that the 20 day Raff is heading up and the bottom of that channel is at the 7550 level as well, so again another element lending weight to support at that area.
If the bears were to break below the 7550 however then for today we have S3 down at 7509 though that feels particularly bearish, and I am thinking that we could see a modest bounce on the S&P today as that daily 200ema holds.
September has certainly followed the seasonal pattern very well, which would suggest that the strength may well return in October. Buy the dippers likely to start appearing soon as well.
Not too much more to say really, watch for the 7650 to 7550 range for today, with a possible spike up to 7685 to test R2.
Good luck
Interested in how to start trading the FTSE 100? Frequently Asked Questions on Spread betting - Read more here
Recommended Broker for FTSE 100 trading and how to start trading using support and resistance
IC Markets - offers market leading pricing and trading conditions by providing clients with True ECN Connectivity; this allows you to trade on institutional grade liquidity from the world’s leading investment banks, hedge funds and dark pool liquidity execution venues. Highly recommended!
Membership, Trading Tips, Support and Resistance Levels with Live Trading
If you would like more detailed analysis for FTSE 100, DAX, Gold and S&P, including the trades that I am looking to take myself, then please join my active members community.
What you get
- Daily Analysis pre market open (sent around 7am each day) for FTSE 100, DAX40, Gold and S&P 500.
- Daily email pre market includes my trading plan for the day including ORDER levels, with stops and targets/limits
- Telegram live trading room and group membership for discussion and realtime trade updates