21st September 2018
We continued the risk on mode yesterday with the bulls defending the 7324.3 level for the rise towards the 7350 resistance area. Despite a slight wobble there they carried on, targeting the 7395 but failed just short. The 7220 low remains intact for now, but unless the bulls can break 7477 it pays to still be slightly cautious, especially as a few indices are sitting on highs. Also we have quadruple witching option expiry today so it will be spikey at 10:10 this morning, till 10:20, and may well be pretty choppy/volatile for most of the session. We also have the largest revision to the Global Industry Classification Standard since 1999 happening today. Stay nimble!
U.S. stock benchmarks reached new highs Thursday on news from China about tariff and currency moves that could ease trade tensions. Treasury yields remained near their highest level this year. The dollar slid. The S&P 500 Index soared to a record close, led by the technology, health-care and financial sectors — lodging its biggest gain in over a month. The Dow Jones Industrial Average also reached a new pinnacle, with 28 of 30 constituents flashing green.
Trade conflicts that had stocks gyrating early in the week have since cooled off. China is said to be planning to cut the average tariff rate it charges on imports from the majority of its trading partners as soon as next month. On Wednesday, Premier Li Keqiang said his government wouldn’t devalue the currency in order to boost its exports amid the trade war.
FTSE 100 Trading Signals, Forecast and Prediction
For today I think that we might see the bulls finally manage the 7395 level we had as resistance for yesterday and continue, at least initially, with a bit of upside. That is dependant however on the daily pivot at 7365 holding as support this morning on any initial dip down. Assuming it does hold then we should see a rise towards 7417. That said, 7430 looks interesting, and we have R2 here as well so better to wait for that. Above this level then 7465 to 7477 is the next area of resistance.
Membership
If you would like more detailed analysis for FTSE 100, DAX, Gold and S&P, including the trades that I am looking to take myself, then please join my active members community.
Results
I keep a record of all the trades communicated to members via the morning email trade plan and those alerted live. See the results here.
What you get
- Daily Analysis pre market open (sent around 7am each day) for FTSE, DAX, Gold and S&P.
- Daily email pre market includes my trading plan for the day including ORDER levels, with stops and targets/limits
- Telegram Chat room and webinar group membership for discussion and realtime trade updates