What will the FTSE 100 do today? FTSE 100 technical analysis for 1st August 2023
What will the FTSE 100 do today - The FTSE 100 closed 0.06pc higher at 7,699.41 lifted by energy giants BP and Shell after Rishi Sunak announced hundreds of North Sea oil contracts would be granted. BP finished 1.6pc higher at 483p, while Shell ended up 1.05pc at 2,369p. The blue-chip index has grown by 1.92pc in July, climbing to levels last seen in May, and followign the seasonality averages chart extremely well once again.
Shares in Asia edged higher Tuesday, bolstered by bullish sentiment on Wall Street as investors parsed further signs of stability in the global economy. Equities in Japan, Australia, South Korea climbed, placing a gauge of Asian stocks on track for its seventh consecutive advance — a run not seen since January, when investors initially warmed to China’s reopening.
Asian stocks edged toward a sixteen-month peak on Tuesday and oil held near recent highs as investors began to find more cause for cheer over global economic prospects than reasons to worry, even as data showed risks remain.
Crude oil eased back slightly after ending July at fresh three-month highs, supported by signs of tightening global supply and rising demand through the rest of this year. U.S. West Texas Intermediate crude futures eased 0.3% to $81.54 a barrel, after reaching $82.00 in the previous session for the first time since mid-April.
What will the FTSE 100 do today? FTSE 100 technical analysis
Start of the month so may well see an initial kick up this morning to start proceedings and am still watching the 7710 level as resistance, especially as the bulls weren't able to really break much above it yesterday. If they did manage to do that today then a rise towards the 7740 area would make sense, and be the next level of resistance.
Higher up then the 7770 level looks key, and with both the Raff channels rising on the daily chart, we may well see that this week. Positive news flow at the moment too, especially around inflation with prices in supermarkets declining for the first time in 2 years. Still further rate rises to come though!
Support wise, 7685 looks fairly key to start with, 7680 is the 30m 200ema. A new month money kick up at the bell from here would fit, though a break of this support will likely then see a slide down to the 7665 level where we have the next support.
Ultimately the bulls will be looking to test and break 7610, as this level is key on the longer timeframes. However, the 7580 level would be the first test of the 25ema since the daily chart went bullish. I would like to see any test of this line hold - as it's rising steadily that may well tie in with the 7610 level too later this week.
Good luck today.
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