Tim Young, Social Trader for Ayondo, explains why technical indicators like RSI and stochastics remain favoured for trading the FTSE 100, and maintains a bullish outlook.
FTSE 100 – Short-term bullish potential
Young takes a look at yesterday’s 4-hourly charts, and notes that momentum is leading price action. He further maintains a bullish outlook on that basis.
Looking at the daily charts, Young sees short-term bullish potential for the footsie for today and early next week.
Technically speaking, Footsie goes well with Stochs and RSI
Chaos on Greece seems to have calmed for now, Equity Indices haven’t reacted with a sudden spike due to political woes, according to Young. His analysis further suggests that Stochastics and RSI work well with the footsie, as it remains range bound most of the time.