- Price action honing in on likely support at 7,876.81
- The FTSE made an initial breakout above its 3 day Simple Moving Average at 7,884, a potential indicator of a newly emerging bullish phase.
In the midst of a 6 day bullish trend, Today's session might suggest a slow down — after ending Friday at 7,914, the FTSE traded in a 7,877.58 – 7,914 range before settling at 7,911.
The index has been trending positively for about a month. The FTSE hit a significant low of 6,826.2 around 6 months ago, but has since recovered 15.94%.
FTSE made an initial breakout above its 3 day Simple Moving Average at 7,884, a potential indicator of a newly emerging bullish phase. The FTSE is approaching key support, around 34.1 points away from 7,876.81. Dipping below could indicate further losses are ahead while a failure to break below this level is likely to be seen positively by market bulls.
Despite muted price action in the FTSE, chart analysis indicates it is positioned for a bullish run in the short term.
While the FTSE is pretty flat so far today, mixed performances are seen elsewhere as KOSPI Composite Index slides down 0.82% to trade around 2,523.5. After ending Friday's session at 20,076, Hang Seng lost 115.79 points and is trading around 19,960.
Upcoming fundamentals: United Kingdom CBI Industrial Trends Orders (Apr) is scheduled for tomorrow at 10:00 UTC.
