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

ForumTrading Forum with market discussion and live trades: Market DiscussionLooking weaker but 7135 7090 7050 …

Please or Register to create posts and topics.

Looking weaker but 7135 7090 7050 support | 7175 7215 resistance | 3860 SPX support

#1 · 11th July 2022, 9:40 am

Quote from Nick on 11th July 2022, 9:40 am
FTSE 100 Analysis | Signals | Forecast | Prediction | FTSE 100 Outlook | Trading help
Asian shares were mostly under water on Monday as investors braced for a U.S. inflation report that could force another super-sized hike in interest rates, and the start of an earnings season in which profits could be under pressure.
A US inflation reading later this week is expected to get closer to 9%, a fresh four-decade high, buttressing the Federal Reserve’s case for a jumbo July interest-rate hike. Company earnings, meanwhile, will shed light on recession fears that contributed to an $18 trillion first-half wipeout in global equities.
An upbeat U.S. June payrolls report already has the market wagering heavily on a rise of 75 basis points from the Federal Reserve, sending bond yields and the dollar higher.
Underlining the global nature of the inflation challenge, central banks in Canada and New Zealand are expected to tighten further this week.
While Wall Street did eke out some gains last week, the market mood will be tested by earnings from JPMorgan and Morgan Stanley on Thursday, with Citigroup and Wells Fargo the day after.
On Monday, S&P 500 futures were down 0.4% and Nasdaq futures off 0.5%. EUROSTOXX 50 futures fell 0.6% and FTSE futures 0.7%.
Shanghai reported its first case of the highly infectious BA.5 omicron sub-variant Sunday and warned of “very high” risks, stoking fears of more lockdowns given China remains wedded to stamping out the pathogen. Casino shares sapped Hong Kong after Macau announced the closure of almost all businesses for a week from Monday due to a virus outbreak.
Commodity-linked currencies were under pressure and oil suffered losses. Treasuries were steady, leaving the US 10-year yield at 3.08%. Inversions along the yield curve are potential signs of economic retrenchment ahead.
Tariffs Talks
President Joe Biden said his administration is still discussing possible action on US tariffs on Chinese imports, after Commerce Secretary Gina Raimondo said she expects a decision “shortly.” Biden’s administration has been considering easing some Trump-era tariffs on consumer goods from China for some time amid divisions among his team. Senior US and Chinese officials discussed US economic sanctions and tariffs last week. Raimondo said on NBC’s “Meet the Press” earlier Sunday that “we were briefing him and I expect he’ll make a decision shortly.” Meanwhile, Biden and his Chinese counterpart Xi Jinping are set to speak again in the coming weeks, Secretary of State Antony Blinken said.
FTSE 100 live outlook prediction analysis for 11th July 2022
The bulls are starting on the back foot this morning with the futures dropping off following a weak Asian session, and the FTSe100 is just testing the 7135 support level as I write this. A break of this will likely see the next daily support level of 7090 tested, and that matches S2 for today as well. A full on Bull Monday seems a bit of a big ask today, and we may well follow Australia's pattern of a small rise then a bigger drop.
Following Fridays rise to 7215, the bulls have dropped the ball a bit so will need to be quick out the blocks this morning. 7120 is also the key fib level so could see a small reaction. Below 7090 then the bears will be aiming for 7053 S3, and then 7010 again - the bottom of the 20d Raff channel for today. Can they drop it off that much today? Should we see it then I would like to see the 7090 area hold.
The race for the next PM is also hotting up with more and more throwing their hat into the ring. Could be quite the fight to see who wins!
Initial resistance is at the daily pivot 7175, and that also ties in with the 200ema and the 30m coral - so may be a tough nut for the bulls to break above today. If they do, then the key fib at 7215 is next up and aligns with Fridays high of the day. Thats also just below R1 for today at 7223. 7255 remains daily resistance above that, though may be a big ask for today.
We have the US inflation report this week, and also earning season starts on the 15th. The markets may well be slightly more cautious ahead of that.
So, looking at a rise and dip really to play out today, though the picture does look weaker now than it did on Friday.
Good luck today.
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 and 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, 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

FTSE 100 Analysis | Signals | Forecast | Prediction | FTSE 100 Outlook | Trading help

Asian shares were mostly under water on Monday as investors braced for a U.S. inflation report that could force another super-sized hike in interest rates, and the start of an earnings season in which profits could be under pressure.

A US inflation reading later this week is expected to get closer to 9%, a fresh four-decade high, buttressing the Federal Reserve’s case for a jumbo July interest-rate hike. Company earnings, meanwhile, will shed light on recession fears that contributed to an $18 trillion first-half wipeout in global equities.

An upbeat U.S. June payrolls report already has the market wagering heavily on a rise of 75 basis points from the Federal Reserve, sending bond yields and the dollar higher.
Underlining the global nature of the inflation challenge, central banks in Canada and New Zealand are expected to tighten further this week.

While Wall Street did eke out some gains last week, the market mood will be tested by earnings from JPMorgan and Morgan Stanley on Thursday, with Citigroup and Wells Fargo the day after.

On Monday, S&P 500 futures were down 0.4% and Nasdaq futures off 0.5%. EUROSTOXX 50 futures fell 0.6% and FTSE futures 0.7%.

Shanghai reported its first case of the highly infectious BA.5 omicron sub-variant Sunday and warned of “very high” risks, stoking fears of more lockdowns given China remains wedded to stamping out the pathogen. Casino shares sapped Hong Kong after Macau announced the closure of almost all businesses for a week from Monday due to a virus outbreak.

Commodity-linked currencies were under pressure and oil suffered losses. Treasuries were steady, leaving the US 10-year yield at 3.08%. Inversions along the yield curve are potential signs of economic retrenchment ahead.

Tariffs Talks
President Joe Biden said his administration is still discussing possible action on US tariffs on Chinese imports, after Commerce Secretary Gina Raimondo said she expects a decision “shortly.” Biden’s administration has been considering easing some Trump-era tariffs on consumer goods from China for some time amid divisions among his team. Senior US and Chinese officials discussed US economic sanctions and tariffs last week. Raimondo said on NBC’s “Meet the Press” earlier Sunday that “we were briefing him and I expect he’ll make a decision shortly.” Meanwhile, Biden and his Chinese counterpart Xi Jinping are set to speak again in the coming weeks, Secretary of State Antony Blinken said.

FTSE 100 live outlook prediction analysis for 11th July 2022

The bulls are starting on the back foot this morning with the futures dropping off following a weak Asian session, and the FTSe100 is just testing the 7135 support level as I write this. A break of this will likely see the next daily support level of 7090 tested, and that matches S2 for today as well. A full on Bull Monday seems a bit of a big ask today, and we may well follow Australia's pattern of a small rise then a bigger drop.

Following Fridays rise to 7215, the bulls have dropped the ball a bit so will need to be quick out the blocks this morning. 7120 is also the key fib level so could see a small reaction. Below 7090 then the bears will be aiming for 7053 S3, and then 7010 again - the bottom of the 20d Raff channel for today. Can they drop it off that much today? Should we see it then I would like to see the 7090 area hold.

The race for the next PM is also hotting up with more and more throwing their hat into the ring. Could be quite the fight to see who wins!

Initial resistance is at the daily pivot 7175, and that also ties in with the 200ema and the 30m coral - so may be a tough nut for the bulls to break above today. If they do, then the key fib at 7215 is next up and aligns with Fridays high of the day. Thats also just below R1 for today at 7223. 7255 remains daily resistance above that, though may be a big ask for today.

We have the US inflation report this week, and also earning season starts on the 15th. The markets may well be slightly more cautious ahead of that.

So, looking at a rise and dip really to play out today, though the picture does look weaker now than it did on Friday.

Good luck today.

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 and 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, 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