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FTSE: 7500 Resistance To Watch Today

Published 04/10/2017, 09:28
UK100
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AXJO
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I am seeing another rise and dip (though hopefully a bit more of a dip this time) again today. Have some key resistance levels at 7508 and 7520 so am thinking that a rise to this area as we bounce off the 2 hour support first thing at 7459 (we also have the daily pivot here as well). Overnight we have remained pretty strong, again not really dropping off the 7469 resistance level seen yesterday. The ASX 200 had a bearish session again though, and gold has started to rise. Institutional investors are buying this up so that they don't miss out - need to make the money work.

There is a 3.5 dividend later so may see some buyers come in for the towards the bell, even though its a small one.

I have plotted the blue and pink arrows, with the latter just in case we get a slight push over the 7509 resistance. With my two main resistance levels so close together it makes sense to short at both and just have a wider stop. Ideally we will get a bit of a dip down from this area to the daily support at 7360 before more upside and a charge towards 7600. It's looking that way at the moment, possibly even new highs on the FTSE above that.

On the bearish side, if the bulls can break the support at 7460 to start with, then as mentioned there is daily support at 7360, though I think the 7410 area will likely see a bounce if there were able to get it that low.

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