Discussion Forum for trading analysis, help, signals and trading

Discussion Forum for trading analysis, help, signals and learning how to trade. Chat with other traders , post analysis, trades and ask questions. This is the public part of my website. For more in-depth discussions please consider joining to chat with other members

Forum Navigation
Please or Register to create posts and topics.

7065 7015 support | 7140 resistance | US North Korea no agreement | Learning to trade analysis forum chatroom

28th February 2019

The US economy is slowing and the rest of the world is highly exposed, meaning a serious slump could spread quickly to other nations, economists have warned. At the same time China has little room to launch any major stimulus, as it did in the financial crisis, and other leading economies are unlikely to help. Analysts at Citi have chopped their forecasts for the world’s largest economy, warning that US growth and financial markets still have an outsized impact on the rest of the world.

The FTSE 100 was pretty flat yesterday dropping form 7124 to a low of 7080 and then spending most of the day hovering around 7100. The bulls defended the lows but couldn't get the price to pull away, while the bears couldn't drop it down to that 7065 support level, which remains applicable for today.

Sterling’s strength and investor caution after the flare-up in tensions between India and Pakistan helped to pull the wider index down to a 43.92-point loss to close at 7,107.20.


(adsbygoogle = window.adsbygoogle || []).push({});

FTSE 100 Trading Signals, Forecast and Prediction

It looks like we will see a drop down to the 7065 level now that 7095 has broken, and the big question will be does it hold.... If it does then it sets up a springboard for a push back up towards 7135 and higher, with the 7200 area a likely target. As you know I was expecting a drop down to test this 7065 to 7090 support area as we rallied up towards 7300 so logically it makes sense to hold and then push higher. But as we also know, the markets can be quite illogical!

[caption id="attachment_14622" align="aligncenter" width="821"]FTSE 100 Trading Signals, Forecast and Prediction FTSE 100 Trading Signals, Forecast and Prediction[/caption]

If the bears were to break 7065 then we are looking at a drop down to 7015 where we have the 20 day Raff channel, and probably a test of S3 at 6995. The bulls will certainly be keen to keep the price above 7000, especially as it's month end today. Should the 6995 break then 6930 is the next key daily support. Cable has risen strongly, and it that starts to drop off from the resistance around this 133 area, then that may help to underpin a rally on the FTSE 100.

The Dax and S&P 2 hour charts are still bearish, with resistance at 11528 and 2794 respectively. The slight spanner in the works on the FTSE 100 for the bulls is that the price is just dipping below the 25ema at 7091. The longer the price stays below this then the small bounce from there to 7150 looks like it might be it for the moment on that particular signal. With a downtrending 10 day Raff channel now the bulls have their work cut out.

Recommended Broker


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

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, DAX, Gold and S&P.
  • Daily email pre market includes my trading plan for the day including ORDER levels, with stops and targets/limits
  • Telegram live trading room and webinar group membership for discussion and realtime trade updates