Technical forecast for FTSE 100

ftse3

FTSE Sep13 reached the next target at 6625 & tested trend line resistance at 6635 as hoped. We predicted selling pressure here & advised to exit longs & try shorts with stops above 6640. This trade worked perfectly as we topped exactly at 6635. We fell back to support at 6561/60 & a low for the day predicted & we bottomed exactly here. The short term outlook has now turned negative so a break below 6560 should target 6545/40 today. If we continue lower we meet good support at 6522/20 for a buying opportunity with a low for the day expected. However if we continue lower look for further good support at 6500/95.

Immediate resistance at 6590/95 could hold the topside but above here look for 6608/12 then a retest of 6630/35 for a selling opportunity.

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