FTSE 100 aiming higher

Steve Miley, MSTA MarketChartist

Day trade outlook: Still aiming higher

A strong bull gap advance Monday up to 5999 after the market was closed on Friday, and despite a setback to hold above 5872/68 support, at 5893, to retain upside pressures from last week's solid advance Thursday from 5645 and from the late April surge up above the key mid-April peak at 5932.5 up to 6191, to keep the bias to the upside Tuesday.

We see an upside bias for 5969.5; a break above aims towards 5999/600 and 6030/35, maybe 6077.
But below 5893 quickly targets 5872/68, maybe then towards 5833.

Intermediate-term outlook

A late February plunge below 7164 set an intermediate-term bear trend.

Downside risks: We see an intermediate-term bear trend to aim for 4701.5 and 4500, maybe 4060.5.

What changes this? Above 6398 shifts the intermediate-term outlook to neutral and through 6871.5 to bullish.

Author

Steve Miley, MSTA

MarketChartist

Steve Miley, the Market Chartist brings 22 years of financial market experience with him. He spent 2009-2012 as a Director of the FX Technical Analysis Research Strategy team at Credit Suisse and was previously at Merrill Lynch for 15 years.

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