Consolidation Day On FTSE100 With 7050 6990 Support

Great bounce off the S1 level at 6950 yesterday and it will now be up to the bulls to keep that momentum going. Getting the price back above 7000 bodes well in the short term and to start with today we have decent looking support at the 7050 level with the 2hour Hull moving average line here and also the daily pivot, and a green 30m coral line. As such we could see a dip and rise play out then a bit of Bear Tuesday to kick in later.

For the S&P500 there is good support to start with at the 4215 level which would be a back test of the 200ema on the 30m, and should coincide with the green 30m coral in the next hour or two as it's rising pretty well. If that level holds then we should see a move up towards R1 at 4257, but again, we could see some profit taking and a bit of bearish reaction here. May well tally with the FTSE100 hitting its R1 as well at 7137. Below 4215 the next main support is 4195 on the 2h chart and then S1 at 4168. The bulls will be keen to hold onto the gains though.

Back to the FTSE100 and below the 7040 a slide down to S1 and the key fib at 6992 may well happen, and the bulls will start to lose the momentum again. Below that 6950 is the bottom of both the Raff channels and then the 6906 support level mentioned on Friday are next up. That would indeed be quite a bear Tuesday if we slide back down to 6950 though, but it does set up a double bottom with Fridays low. Worth a long here if it were to be seen. 

If the bulls push past the 7137 level today then 7175 is again the main resistance, with that 7200 level above that. Maybe a bit of a big ask to get that high today though! 

We do have the BoE interest rate decision on Thursday but no changes likely. 

So, looking for a bit more upside today before a bit of profit taking later at that R1 level on the FTSE, Dax and S&P - 7137, 15780, 4257 respectively. Good luck today.