Healthcare bill delayed till Monday | 7325 support | 7370 Resistance

24th March 2017

Good morning. Nice, albeit slow, climb from the 7310 level again in a good sign for the bulls that level held again. The market was really waiting to see how Donald Trump’s first big test panned out with the vote on the health care bill, only for it to be delayed till Monday. Initially, when it looked like it wouldn’t pass, prices dropped and FTSE 100 futures fell back to 7320. However overnight we have seen a rise and now sitting at 7350.

We might get another fairly flat day today, though there is decent looking 2 hour support now at 7324. Retail sales figures yesterday also helped the bulls to defend the 7310 support area coming in higher than expected. Today we have traders looking at the PMI Eurozone data mid morning, followed by PMI and durable goods orders in the US later.

FTSE 100 Outlook and Prediction

FTSE 100 Prediction
FTSE 100 Prediction

With the 7310 level holding well on several tests and the vote on the new healthcare bill delayed till Monday we may well see the bulls push up towards 7370 and possibly 7400 today. The 2 hour chart has now gone bullish with support at the 7325 level, and we also have the daily pivot here at 7328. So I am thinking a buy the dip plan is a good one for today, even on a Freaky Friday!

Resistance wise, initially we have the 200ema on the 30min at 7356, with a fib level just above R2 at 7374 so the bulls might encounter some bearish resistance here. If the bulls can break above this then we should get a retest of the 7400 level.

If the bears where to break 7325 then 7310 is still valid support, but a break of that still sees support around 7277, though there is now a 10 day Raff channel in the way at 7289.

So, basically looking to go long around the 7325 level.

20 Comments

  1. Trend behaviour is now up, 7332 could be a good place to buy… The £/$ cable trade is whip sawing and trying to reverse uptrend…
    I’m currently short FTSE, hedged with long DAX…

  2. All stockmarkets trying to bounce but no real strength to it, maybe ftse will move a bit this afternoon. I have longs in here, but its clearly rangebound. FTSE needs to close above 7350 to get me buying again. But I dont fancy shorting .

  3. Hi all, I decided to take a trade on FTSE for a change for educational purposes . Free trade now from 7329.8. Happened like that, I didn’t see Nick’s 25 area until later otherwise I’d entered at 25. I wonder if I should hold it or not? Usual question. I gave Dax a rest for a bit.
    I had only 10 points stop, so tiny but it is huge for FTSE. I wish I knew when to close it now. I suppose at 7355 or smth.

  4. Agree candlemaster. Looking for a conclusive break of 350 for upside. break of 300 for more downside. The price movements are very slow. Long from 7319

  5. Actually 61.8% it did on FTSE from 23 March 13.00 rise. Accurate. Still holding. I said 55 then 55. I may be happy at 45 then. Don’t know the target really. Added at 27 as well.

  6. I don’t know guys, how you’re coping with this. Tedious. Well, now I’m reminded of what it’s like to trade FTSE.

    1. I am out of here. 3 and a half hour of this torture. Never again. And what I got? 4.5 points just because I had a safe on 1st one. I should have come out at that 39 as I would usually do and that would be the end of it. No, wanted to test my patience. I have no patience, sorry. It touched my b/e, how else could I protect it? Try it all again to see if it goes? No thanks.

    2. Well, I had a break from Dax, it’s also good, to see how it behaves without me. I don’t think today’s experience completely useless. It did help me realize what the patience is like. Now I definitely know that I want to put pull backs into room 101. They are tedious to watch: they are slow, they are eating your profits, they are long, they are unpredictable for upthrusts/downthrusts and they are frustrating. I wish trading was without pull backs. So I put them into room 101!

      1. But an efficient means of transferring wealth from the impatient to the patient, to paraphrase Mr B.

  7. Hi guys been a bit busy….don’t think Ftse will go up much till cable starts dropping into the 1.23 s and under……good luck all…

    1. Hi, nice to see you here, I was wondering today where you were, even wanted to post here. Hope you are doing fine.

      1. Hi Jack, yes I’m doing great thanks, but I had other things I needed to attend too…..it gets a bit engulfing sometimes trading, I like to be on it all the time and other things get neglected….. Anyway not too sure what’s happening here with the markets, I need to pick the thread up again maybe next week….good luck Jack as always….

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