Technical forecast for FTSE 100

ftse

FTSE headed higher as expected beating resistance at 6350/56 but fell a few points short of the 6376 target & sold off sharply to hold just above support at 6287. We are a little overbought in the very short term so we could continue lower but should find a buying opportunity at 6265/60. Exit shorts & try longs with stops below 6230.

The daily chart is getting more positive so eventually this week we should start to push higher. Above 6330 look for 6353/63. A break of yesterday’s high & resistance at 6370/76 should see a test of the 100 day moving average at 6400. If we continue higher we run in to tough Fibonacci resistance at 6450 with a high for the day expected if we reach this far.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More