FTSE 100 about to move back up?
FTSE has seen another pullback overnight, as futures retreated from the 7380 level. However, buyers have stepped in at the 100-hour simple moving average (7338), suggesting that we have more dip buying in operation.
We now look to see if the price can breach the 7386 high from yesterday and then move back to 7400 and higher. Yesterday’s dip hit and bounced off the confluence of a rising trendline formed by the uptrend off the 27 March lows and the trendline off the February low. A move below the latter raises the prospect of a move back to 7300 and then 7260, with a break of this last level opening the way to 7130.