Technical analysis for 6th November 2026
Global financial markets head into the final trading session of the week under renewed pressure following a dramatic sell-off on Wall Street, a hawkish Bank of England interest-rate decision and another change in the direction of oil prices.
The S&P 500 suffered its sharpest daily decline since April 2025, while the Nasdaq fell more than 5%. Investors are increasingly concerned that the US midterm election results could lead to restrictions on data-centre development, threatening the enormous investment programme supporting the artificial intelligence sector.
In the UK, the Bank of England raised interest rates to 4.00%, its first increase in more than three years, and indicated that further tightening could be necessary.
Gold has also retreated after its recent rally, with higher oil prices reviving inflation concerns.
The key event today is the US employment report, which could materially influence expectations for December's Federal Reserve decision.
Yesterday's bullish recovery has completely reversed. The FTSE has fallen sharply from the previous day's highs, breaking beneath its daily 10 and 25 period EMAs and the daily pivot.
The 30-minute chart is particularly weak, showing a sustained sequence of lower highs and lower lows, with price trading beneath all three moving averages.
My prediction today is for a bearish session, with a possible early recovery towards 10690-715 before renewed selling towards 10600 and potentially 10565.
I favour selling a confirmed recovery rather than chasing the decline at 10657. The key battleground today is 10600-565 support versus 10690-715 resistance.
A sustained move above 10715 would weaken the immediate bearish outlook, while a break below 10565 would indicate that the decline is extending.
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