This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
FTSE 100 may challenge all-time highs again
Friday’s bounce in risk appetite proved there is life in the current rally yet, with moves higher across major indices restoring the bullish outlook. In the UK, Kraft’s (now abandoned) bid for Unilever helped to add around 13 points to the index. Early on in the session today we have seen the price start to nudge through last Wednesday’s high around 7315, so if this continues the run at the all-time high at 7360 is back on.
The uptrend off the February low held, with the price dipping towards, but not actually testing, the trendline. Bears need to get the price back below 7260, which has acted as very strong support on the hourly chart over the past week.