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 100 turns sharply lower
Last week saw the FTSE 100 shed most of the ground gained in the second half of September, in a classic demonstration of markets ‘taking the stairs up, but the lift down’.
Friday’s low of 7296.1 is the first area to watch, and then support at 7279, followed by the September lows around 7225. Intraday rallies will need to be closely watched. If a short-term bounce fails to recover 7400 then there is likely further downside ahead.