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FTSE 100: Still Waiting For 7750

Published 10/01/2018, 09:15
UK100
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XAU/USD
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US500
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AXJO
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GC
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The FTSE 100 bulls managed to push slightly above the 7728 resistance yesterday but couldn't make it stick, dropping back from 7733, and the S&P dropped from the 2759 level after making a new high. The ASX200 session Wednesday also saw a drop and a break below S3 in what has been the first bearish day there for a while.

For the FTSE bears, the 7695 support area is the level they need to break while it still looks possible that we will test 7750 before a drop back. Gold dropped out the bottom of the daily Raff channels, after steadily dropping from its recent 1325 high, in what could be a bit of a bearish move to retest 1300.

We might see a bit of a dip down today as the bulls have failed to break the 7728 level despite numerous attempts. That said, 7750 still looms close as a decent resistance level and a possible target for any upside from this 7720 level. Despite the bulls' failure to break above 7728, the bears haven't appeared to drop it down much from that area either.

If we follow the ASX bearish Wednesday session then we may well see dip down to the 7705 200ema area, with 7680 below that, but generally any shorts are risky, counter trend and should be lower stakes.

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