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 could have further downside to come
The FTSE is seeing weakness once more this morning, coming off the back of a rally into the crucial 7381 resistance level. Given the break below that level last week, we are likely to sell off into a deeper retracement of the rally from 7088, with the 61.8% (7284) and 76.4% (7209) levels of particular interest.
As such, further downside from here looks likely from here, with a break through 7450 required to negate the recent downtrend.