FTSE 100 live outlook prediction analysis for 3rd November 2020
- European stocks rise after sharp losses last week
- Retail, pub and leisure stocks drop, dragging on FTSE 250
- Ryanair flies to €200m loss
- Associated British Foods warns of £375m hit from Primark closures
- Ocado upgrades guidance
- UK manufacturers cut jobs as activity continues to rise
- German factories led eurozone recovery ahead of latest lockdowns
Race To The Finish
President Donald Trump and Democrat Joe Biden capped their bitter race with a final blitz of campaigning Monday in states critical to deciding the outcome of the election. The two candidates traded insults and displayed contempt for each other before noisy audiences. The president kicked off a run of five rallies in four states: North Carolina, Pennsylvania, Wisconsin and Michigan. Biden spent most of the day in Pennsylvania, a state critical to each candidates’ hopes of victory. The Democrat stopped in Ohio, projecting confidence he has a chance to flip a state Trump won handily in 2016. He warned earlier that he wouldn’t let Trump declare victory in Tuesday’s election before the results are clear.
Markets Muted
Asian stocks are set for a muted open, with investors remaining anxious ahead of Tuesday’s U.S. presidential election. Crude oil rebounded. Futures edged up in Australia and Hong Kong. Japan is closed for a holiday and Treasuries won’t trade until London opens. In the U.S., the S&P 500 Index climbed after plunging 5.6% last week. The tech-heavy Nasdaq 100 lagged behind, weighted down by Apple and Amazon.com. Treasury yields dropped and the dollar touched a one-month high.[Bloomberg]
FTSE 100 Outlook | Trading Signals | Forecast | Prediction | Analysis
U.S. futures and Asian stocks rose Tuesday ahead of the American presidential election, while currency traders braced for increased volatility.
Shares in Hong Kong, Australia and South Korea climbed more than 1%. Japan is closed for a holiday and Treasuries won’t trade until London opens. S&P 500 contracts advanced after the benchmark equity gauge gained Monday following last week’s 5.6% drop. Australian bond yields and the dollar fell after the central bank cut the cash rate and said it planned to buy A$100 billion ($70 billion) of five- and 10-year bonds over the next six months.
Here we are at Election Day and whilst the polls have Biden ahead the markets has risen. The S&P used the 3280 level as a spring board to kick start its rally yesterday and it could get up towards the daily 25ema at 3384 today. The bulls will need to break that area to then target the daily coral at 3444. If they manage all that, and it does feel bullish for the moment, then it should pull the FTSE up with it too.
On the FTSE the bulls will be keen to push up to the 5800 resistance level today, as we have the daily resistance here at 5804. Above this then a push towards 5880 looks like the next play. The said, we are just testing the 10 day Raff channel top as I write this so initial resistance this morning at 5707. 5790 is also the top of the 20 day Raff channel.
For support, initially 5666 is a back test of the key fib that we have pushed above overnight, along with the 30 min coral (green), here. The coral is a trend indicator and shows a bullish trend on that time frame currently. Below that then the 5642 is 200ema 200ema and just above the daily pivot at 6619. A move below that and the next level of note is the 5560 green 2 hour coral line and is yesterdays low – so I would expect a hold of this.
Obviously today is going to be a bit of a finger in the air to try and predict. Will we get a “clean” section result with a clear cut winner or ill it bye a bit of a shambles with legal challenges? Stay nimble today, though I am thinking a possible dip and rise. Once the election is out the way, we should get back to some more clear cut market moves. Good luck today.
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