Thanksgiving in the US so quiet day | 7280 7235 support | 7320 7333 7345 7382 resistance

Thanksgiving in the US so quiet day | 7280 7235 support | 7320 7333 7345 7382 resistance

FTSE 100 Analysis | Trading Signals | Forecast | Prediction | FTSE 100 Outlook | Trading help

The FTSE 100 continued outperforming its European peers yesterday, closing 0.2pc higher at 7,286. Performance was again propped up by strong oil prices, lifting heavyweights BP and Shell. The top riser was Intertek, up 6pc to 5,474p, after posting a 5.6pc jump in revenues to £2.2bn thanks to its products business, offsetting weaker performance in the trade and resources segment.

Johnson Matthey, instead, underwhelmed investors after warning that dropping its electric battery business will come at a cost of £314m. Shares dipped 2pc to 2,135p.

Asian stocks were steady Thursday and U.S. equity futures rose as traders weighed China’s efforts to cushion its economy as well as robust U.S. expansion that may hasten the withdrawal of monetary stimulus.

MSCI Inc.’s Asia-Pacific share index snapped a three-day drop. Equities came off their lows in Hong Kong and China, where Beijing urged local governments to boost investment to counter a growth slowdown. Meanwhile, the Chinese city of Chengdu sought to ease a cash crunch at property developers, suggesting regulators are fine-tuning a prolonged a crackdown on the real estate sector.

U.S. and European futures climbed after modest Wall Street gains overnight. The latest U.S. data showed a solid economic recovery, including resilient consumer spending despite persistent price pressures. Fed officials at their last meeting were open to a quicker removal of policy support to curb inflation.

FTSE 100 live outlook prediction analysis for 25th November 2021

We got the pre-Thanksgiving rally yesterday and still “buy the dip” is the play for the moment. With the US closed today for said holiday (futures are open in the AM though) we may well continue to see the markets drift higher. Tomorrow is bullish about half the time the day after Thanksgiving, so now that the bulls have managed to get the price through the 4700 resistance level we could see some more upside play out today and tomorrow.

The FTSE100 has initial resistance at the 7320 area with R1 and daily resistance here so we could see a dip and rise play out today on this as well. An initial drop down to the 7280 support area where we have the daily pivot, 30m coral and 30m 200ema before another leg up towards the 7333 fib level would fit quite well really. The bulls will certainly be keen to defend the 7300 level and the lure of the Santa Rally will start too.

Below 7280 then the 7245 level is next up as we have the 2h coral here and would be the first test since its changed to green. I would expect that level to hold, as we continue to build on the rise on the daily chart from 7200 (the first test of the coral on that timeframe, its now risen to 7220). Only 200 more points to go for the 7500 year end! A break of 7200 though and that will be a big spanner in the bull’s plan, as we will likely see 7150 quite quickly and possibly lower.

The S&P remains bullish though and has been consolidating well this week to build up for further upside. The Raff channels are heading up and the top of them are at 4760 and 4800 – year end target maybe!

If the FTSE100 bulls were able to push past 7333 today then we may well get a rise towards the 7380 daily resistance level and where we have R3 for today. Should we get here then we could well see a stutter here (maybe even worth a 7380 short). 7400 of course remains the next round number target too.

We can usually have a quieter day with the US closed so a slow bullish biased day would all fit in quite well with a 7280 to 7330 range in play.

Good luck today.

Recommended Broker

IC Markets – offers market leading pricing and trading conditions by providing clients with True ECN Connectivity; this allows you to trade on institutional grade liquidity from the world’s leading investment banks, hedge funds and dark pool liquidity execution venues. Highly recommended!

Membership and Live Trading

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.

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 live trading room and webinar group membership for discussion and realtime trade updates

Keep up to date with new content, free sign up below