US Presidents Day | FTSE 100 Support 7295 | Resistance 7355

20th February 2017

FTSE 100 Support 7300 7293 7290 7268 7220 7170
FTSE 100 Resistance 7333 7354 7256 7357 7362 7395

Good morning. Another weekend zips by, hope you had a good one! We got the short on Friday from the 7303 area, unfortunately the bears were not particularly strong and we saw a rebound from the 7280 level back above 7300 and a strong close for the weekend. This morning sees the market futures prices pull away from 7300 a bit further opening up the top of the Bianca channels for resistance today, at 7354 and 7357. This area could be a decent short later on. The US markets are closed for Presidents Day so we will “probably” have a fairly tame day.

FTSE 100 Outlook and Prediction

FTSE 100 Prediction
FTSE 100 Prediction

Will we get a bull Monday bear Tuesday pattern again this week?. Quite possible as we have decent support around the 7290 level to start with today, but then decent looking resistance around the 7355 area too. The daily RSI(10) is back at 70 and whilst not an entry signal itself it does show that we are getting into slightly overbought territory. After the bullish close on Friday the 2 hour chart is showing support also at 7300 so we may well get a push up this morning, after a small dip down from the 7320 fib pivot area where we are at 6am. The Dax and S&P have also put on decent gains already with their futures pricing, since the close on Friday.

The main news over the weekend was the abandonment of the “mega bid” of Unilever by Kraft Heinz Kraft, shortly after PM Theresa May said the deal needed looking into before another UK company was taken over by a US one.

For today I am looking at the 7295 area as support and 7355 area as resistance. If the support level breaks then 7220 is the bottom of the 20 day Bianca and the next area of support. If this breaks then its gets pretty bearish and 7060 is on the cards again.

On the bullish side, if the bulls were to push above 7365 this week then the top of the Raff channels at 7400+ are in play and we start opening up the possibility of some higher targets, 7400, 7500 or more. Of course 7358 was the recent high in January that we dropped off from hence why I expect we will see a reaction there today/tomorrow if seen.

31 Comments

    1. Just looking how I missed my long on Dax. I came about at around 12.50 and it didn’t retrace so far.

      1. Good afternoon Jack…..the DAX is tricky for sure….as crazy as it appears though I think it’s all still got upside in it…..I think also the Ftse is lagging behind Dow and Dax just like after U.S. election….I think the Ftse has some good potential for further gains with cable around 2470 ish….I’m expecting a sell off on cable and Ftse to go up over maybe 3 or 4 days if not today…

      2. 470 on FTSE, definitely, it looks pretty inviting to that area. I just wish Dax made a decent pull back right now.

        1. I really like those numbers Jack…..looks like my estimates are a little conservative…..it’s definitely going up though…how much I’m not sure ….

  8. As I understand the rest of the evening will be busy gaining another 20 points up on Dax. I am out of it. Had long from 18820 but they knocked me out cos of early b/e.

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