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 Bank S.A. 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 downtrend persists
The FTSE has sold off into the 61.8% retracement this morning, following a deep retracement yesterday. With the price passing through this level, it looks likely that we are heading towards the 76.4% retracement.
Given the view this current move lower is a retracement of the early-March rally, longs would be preferred around the 76.4% (7276) level. For now, the downtrend remains in play, with a break through 7357 required to negate that bearish outlook.