FTSE 100 trades in 2-month high, GBP/USD rallies while gold price sidelined
FTSE 100 trades in 2-month high, GBP/USD rallies while gold price sidelined as market sentiment improves.
FTSE 100 trades in 2-month high
The FTSE 100 has risen for three consecutive days and is currently flirting with its 8,742 late March high. This may short-term cap. If not, the mid-February high at 8,787 would be next in line, followed by the February peak at 8,835 and the March all-time high at 8,909.
These levels remain in focus while no fall through the 8 May low at 8,513 is seen.
Immediate support can be spotted at the 8,684 early May high and at the 8,641 12 May high ahead of Monday's 8,612 low.
GBP/USD rallies
GBP/USD's break through its April-to-May downtrend line at $1.3327, now because of inverse polarity support line, and rise above its 14 May high at $1.3360 is short-term bullish and targets Monday's high at $1.3404, followed by the $1.3444 April peak and above.
Good support below the breached downtrend line is seen in the $1.3300 region and then at Friday's $1.3251 low and the 23 April low at $1.3234. While these levels underpin, bullish momentum should prevail.
Gold price stays sidelined
The spot gold price has been range trading in low volatility these past few days and trades close to minor support seen at the 1 May low at $3,202.00 per troy ounce.
While the $3,208.00-to-$3,202.00 support zone underpins on a daily chart closing basis, a rise towards the $3,300.00 area may unfold.
For a bullish reversal to take shape, Friday's high at $3,252.00 would need to be exceeded on a daily chart closing basis.
A fall through the $3,208.00-to-$3,202.00 support zone would put the early April high at $3,167.00 back on the map, ahead of the 55-day simple moving average (SMA) at $3,151.00 and last week's low at $3,121.00.
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