However, with US PMI and employment numbers deteriorating, the story is quite the opposite with a more dovish outlook looking helping American indices outperform their European counterparts.
FTSE falling from SMA resistance
The FTSE 100 is looking to push lower once more this morning, following on from a rally into the 100-day simple moving average. This moving average has provided relatively reliable support and resistance on a number of occasions recently and this is another to add to the list. With price having now moved below the 6817 support level set yesterday, another move lower looks likely. Interestingly, such a move could bring the index down into a confluence of both 76.4% and trendline support around 6796.
This should provide us with an interesting bullish reversal area. However, for now we are likely to see further short-term losses into that 6796 support area, at which a more bullish view comes into play.