- Price action is gradually approaching a key resistance hurdle at 7,089
- Upper Bollinger Band® currently at 7,104
The FTSE displays further gains following a recent trend of 11 days and 187.28 points. The FTSE lived up to expectations yesterday by maintaining its set course — after dipping down to 6,960, the FTSE regained earlier losses and reached 7,056.
The FTSE has recovered 2.74% since descending to a significant low of 6,826.2 around 15 days ago.
Despite posting gains on yesterday, FTSE slid below its 5 day Simple Moving Average at 6,973.22 during the last session — an early indicator that a negative trend could be emerging. Bollinger Band® analysis indicates that current price action is approaching the upper band at 7,104, thereby suggesting that the FTSE is becoming overvalued. The FTSE could be slowing down soon as it approaches resistance at 7,089. Of course, crossing it might suggest further gains are ahead.
Despite basking in an uptrend and bullish intraday sentiment, chart analysis indicates the FTSE is set for a reversal in the coming days.
Other markets are also showing gains as Hang Seng went up by 3% yesterday, and closed at 15,776. KOSPI Composite Index improves 1.42% yesterday and closed at 2,249.56.
Meanwhile, Nasdaq withdraws 2.04% yesterday and closed at 11,200.
Upcoming fundamentals: United Kingdom CFTC GBP speculative net positions is expected tomorrow at 19:30 UTC.