Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

FTSE: Can The Bulls Defend 7500?

Published 18/10/2017, 08:38

FTSE

The bulls most definitely bought the dip yesterday - twice in fact, at 7505 and 7515 - and the bears failed to break below 7500 so the momentum is still with the bulls.

They now need to break the 7566 area, which was the recent high, though there is a fib pivot resistance level at 7578 which may cause a stutter. If they were able to push above the 7600 level as well then 7673 is the next major area of note, where we have the 20 day Bianca today. Might be a big ask to get that high today but that area is worth noting.

On the bearish side, if the bears can break 7500 then 7478 is the other fib level I am watching and will likely see decent support here. If they were able to break below this then 7455 is the 25ema on the daily, and a good swing long entry. It may be that 7565 stays as the short term high and we get a leg down from this current area to that before seeing a further rise. It looks like the bulls will need to be quick out the blocks today. Yesterday I was more confident of a drop down through 7500, but seeing how well that area was defended makes it look like the bears are still quite weak, though a third test of 7505 may well see a break.

Ball is in the bulls' court really and watching to see if they can break through the 7578 area today. It may well be that it just pops above the recent high but then retreats.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.