Technical analysis for FTSE 100 for 21st March 2025
8700 has been a magnet this week and we may well see another rise and dip play out today as the bulls try and defend it again. We have the daily pivot here for today as well so a push up towards the 8740 again would work well. It certainly dropped off the Hull MA there yesterday well, and the bulls were slow to react. They did end up defending the 8660 level in the end though and having brought it up from there they will be keen to defend 8700.
Initially then a rise to 8740 would make sense, and if the bulls can break above this then the next level of note is 8790 for a test of daily resistance as the bulls continue to aim for the 8800 level and we now have the top of the Raff channels at the 8880 area - not that I am expecting it to get that high today though. The 2h chart is still bearish and the Hull MA is still at 8740 to still give weight to that area.
On the other hand, if the bears try and drive it down again (and LHR being closed following the fire may well help) then the first support is the 200ema on the 30m at 8685 and then S1 at 8660 below that. If we see this level again, and it also links in with another test of the 25ema on the daily at 8672, then I would like to see a bounce here. 8662 is also daily support so does look to be fairly key once again.
A break of this would then lead to a test of the key fib at the 8638 level, and then 8610 below that - a level that should see a bounce if it gets that low.
Looking at the daily chart the FTSE100 does look more optimistic as we have a decent rising 10d Raff channel, the 20d is levelling off now and it has bounced well from 8500 having a few green daily candles now. If the US markets have put in their low now at the 5500 S&P500 level it bodes well for a more optimistic start to Q2 in April.
Not too much more to say so good luck today and have a great weekend.
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