The information 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 and as such is considered to be a marketing communication.
FTSE challenging crucial support level
The FTSE has sold off sharply into the 7253-7262 support zone this morning. The ability to maintain the price action above this level is key to avoiding significant losses for the index.
However, should we see a strong hourly close below 7253, we would be looking at the completion of a bearish head and shoulders formation. As such, the reaction to this support level will dictate the state of play for the remainder of the week.