Still some upside momentum left in the FTSE 100, says Tim Young, Day Trader at Ayondo, as he shares the technical outlook for the UK equity market index in today’s Finance Show, joined by Nick Batsford, CEO at Tip TV.
FTSE: Daily chart
Looking at the daily chart for the FTSE 100, Young sees the index struggling around the 6400 mark, and sees some consolidation ahead around the 6300 area.
Momentum-wise, Young believes that there is still some upside left in the index.
FTSE: Weekly chart
Young notes that previously we had plotted a bullish hammer on the charts and to complete that formation we need an upmove, which we haven’t had yet.
On the key levels, he notes that 6000 has been a strong support, and a move towards 6500-6600 is needed to move the stochastics into overbought territory.