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. See full non-independent research disclaimer and quarterly summary.
FTSE 100 rallies towards 76.4% retracement
The FTSE 100 failed to break lower yesterday, with the key 6955 level remaining untouched, despite selling throughout the morning. The wider downtrend in place over the past month points towards the potential for another move lower, with the 76.4% Fibonacci of particular interest.
A break above 7256 would signal the return of the bullish longer-term outlook. However, until that happens, there is a chance we will begin to turn lower once more before long. A break below 6972 in particular would signal the beginning of the next downside move.
.jpg)
