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 DiscussionMight be a bit calmer today | 705 …

Please or Register to create posts and topics.

Might be a bit calmer today | 7055 7077 resistance | 6999 6950 support | Sterling stabilises

#1 · 27th September 2022, 10:19 am

Quote from Nick on 27th September 2022, 10:19 am
FTSE100 Analysis | Signals | Forecast | Prediction | FTSE 100 Outlook | Trading help
Asian markets traded on a cautious note Tuesday following another selloff in US stocks, soaring bond yields and volatile currency markets as investors brace for a heightened risk of global recession. Asian markets attempted to stabilise on Tuesday after a wild few days of stumbling stocks, crumbling bonds, a plunging pound and soaring dollar, with the dollar easing a bit and stocks flat.
A gauge of the region’s equities fluctuated as shares edged higher in Japan and Australia while Hong Kong stocks fell 1%. US futures contracts rose after the S&P 500 closed at its lowest since 2020 and the Cboe Volatility Index spiked past 30, a level it hasn’t closed above since June.
Britain's plummeting pound is forcing banks to withdraw mortgage deals and businesses to raise prices amid growing concerns that the Bank of England will hike interest rates to counter the turmoil. Lenders Halifax, Virgin Money and Skipton were among providers to pull deals, in anticipation of a rate rise from the Bank of England.
The Bank of England said on Monday that it would assess the pound's drop at its next scheduled meeting in November, adding it would not hesitate to increase rates.
The pound’s plunge to a record low of less than $1.04 against the dollar came in the wake of the new government’s tax-cutting budget, which intends to drive growth. The chaos led to the Treasury issuing a statement pledging to set out its approach to managing the public finances.
Sterling, which collapsed to a record low $1.0327 on Monday, recovered to $1.0742. S&P 500 futures rose 0.7%, and MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.1%. Japan’s Nikkei rose 0.7%.
Analysts were doubtful about the outlook, however, as markets - already jittery at the prospect of U.S. interest rates staying higher for longer - have been further unnerved by an upheaval in British assets in response to government spending plans.
Britain plans tax cuts on top of huge energy subsidies, and a lack of confidence in the strategy and its funding hammered gilts and the pound on Friday and again on Monday.
Oil and gold nursed losses. Gold, which hit a 2-1/2 year low on Monday rose 0.5% to $1,629 an ounce. Oil lifted slightly from its lowest levels since January. U.S. crude ticked up 0.66% to $77.22 a barrel. Brent crude rose to $84.71 per barrel.
FTSE100 live outlook prediction analysis for 27th September 2022
A good day yesterday with all the levels playing out well as the markets continues to gyrate. Sterling still taking a pasting but with it now all over the news we should see the bottom around this area and a decent bounce on cable over the next few weeks. The MSM are always a good trade indicator!
For the FTSE100 today they have fought it back above the 7000 level area after the move down to 6950 yesterday and we may well see a climb towards the 7050 level where we have the key fib to start with. Above that then the bulls will be aiming for the R1 level at 7078, and the 200ema above that at the 7098 level.
We may well (possibly, maybe!) see a slightly calmer day today though a bear Tuesday may well play out. Shorting the rallies is still the preferred play for the rest of this month.
That said the S&P500 2h chart has gone bullish with the 3660 level locking in as support, while the FTSE100 2h chart is just starting to turn bullish, and if the bulls can keep the upper hand, we may lock in the 7015 level as support on that. Ergo, watch for those two levels.
For the bears, they will be looking to take the FTSE100 down towards 7000 and we have the green 30m coral here so could see that hold as support. Also the key round number of course as well.
Below that then 6951 is the key fib, yesterday's low and then S1 at 6944 below that. So again, 6950 looks to be decent support bellow the 7000 level.
Ball is in the bulls court really on the S&P and they will want to get the price back above the 3700 level. 3660 looks key as along with the 2h support mentioned, we also have the green 30m coral here. The bulls would certainly need to pull out all the stops to defend this level if tested.
The Raff channels on the FTSE100, Dax40 and S&P500 are all still heading down so we are fitting that seasonal chart very well at the moment with the weak second half of September. Roll on October I can hear the bulls saying!
Could be an interesting day today but possibly a bit flatter - watch for 7050, 7100 resistance, 7000, 6950 support - all the round numbers!
Good luck.
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 FTSE100, 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 FTSE100, DAX40, Gold and S&P500.
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

FTSE100 Analysis | Signals | Forecast | Prediction | FTSE 100 Outlook | Trading help

Asian markets traded on a cautious note Tuesday following another selloff in US stocks, soaring bond yields and volatile currency markets as investors brace for a heightened risk of global recession. Asian markets attempted to stabilise on Tuesday after a wild few days of stumbling stocks, crumbling bonds, a plunging pound and soaring dollar, with the dollar easing a bit and stocks flat.

A gauge of the region’s equities fluctuated as shares edged higher in Japan and Australia while Hong Kong stocks fell 1%. US futures contracts rose after the S&P 500 closed at its lowest since 2020 and the Cboe Volatility Index spiked past 30, a level it hasn’t closed above since June.

Britain's plummeting pound is forcing banks to withdraw mortgage deals and businesses to raise prices amid growing concerns that the Bank of England will hike interest rates to counter the turmoil. Lenders Halifax, Virgin Money and Skipton were among providers to pull deals, in anticipation of a rate rise from the Bank of England.

The Bank of England said on Monday that it would assess the pound's drop at its next scheduled meeting in November, adding it would not hesitate to increase rates.

The pound’s plunge to a record low of less than $1.04 against the dollar came in the wake of the new government’s tax-cutting budget, which intends to drive growth. The chaos led to the Treasury issuing a statement pledging to set out its approach to managing the public finances.

Sterling, which collapsed to a record low $1.0327 on Monday, recovered to $1.0742. S&P 500 futures rose 0.7%, and MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.1%. Japan’s Nikkei rose 0.7%.

Analysts were doubtful about the outlook, however, as markets - already jittery at the prospect of U.S. interest rates staying higher for longer - have been further unnerved by an upheaval in British assets in response to government spending plans.

Britain plans tax cuts on top of huge energy subsidies, and a lack of confidence in the strategy and its funding hammered gilts and the pound on Friday and again on Monday.

Oil and gold nursed losses. Gold, which hit a 2-1/2 year low on Monday rose 0.5% to $1,629 an ounce. Oil lifted slightly from its lowest levels since January. U.S. crude ticked up 0.66% to $77.22 a barrel. Brent crude rose to $84.71 per barrel.

FTSE100 live outlook prediction analysis for 27th September 2022

A good day yesterday with all the levels playing out well as the markets continues to gyrate. Sterling still taking a pasting but with it now all over the news we should see the bottom around this area and a decent bounce on cable over the next few weeks. The MSM are always a good trade indicator!

For the FTSE100 today they have fought it back above the 7000 level area after the move down to 6950 yesterday and we may well see a climb towards the 7050 level where we have the key fib to start with. Above that then the bulls will be aiming for the R1 level at 7078, and the 200ema above that at the 7098 level.

We may well (possibly, maybe!) see a slightly calmer day today though a bear Tuesday may well play out. Shorting the rallies is still the preferred play for the rest of this month.

That said the S&P500 2h chart has gone bullish with the 3660 level locking in as support, while the FTSE100 2h chart is just starting to turn bullish, and if the bulls can keep the upper hand, we may lock in the 7015 level as support on that. Ergo, watch for those two levels.

For the bears, they will be looking to take the FTSE100 down towards 7000 and we have the green 30m coral here so could see that hold as support. Also the key round number of course as well.

Below that then 6951 is the key fib, yesterday's low and then S1 at 6944 below that. So again, 6950 looks to be decent support bellow the 7000 level.

Ball is in the bulls court really on the S&P and they will want to get the price back above the 3700 level. 3660 looks key as along with the 2h support mentioned, we also have the green 30m coral here. The bulls would certainly need to pull out all the stops to defend this level if tested.

The Raff channels on the FTSE100, Dax40 and S&P500 are all still heading down so we are fitting that seasonal chart very well at the moment with the weak second half of September. Roll on October I can hear the bulls saying!

Could be an interesting day today but possibly a bit flatter - watch for 7050, 7100 resistance, 7000, 6950 support - all the round numbers!

Good luck.

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 FTSE100, 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 FTSE100, DAX40, Gold and S&P500.
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