FTSE 100 added almost 89 points or 1.3% to close at 6,833.93

The FTSE 100 added almost 89 points or 1.3% to close at 6,833.93 as MPs started to debate ahead of voting on a series of amendments to PM May's Brexit plan B - voting is underway.

Markets in Europe had a defensive tone to start the day ahead of this week’s US-China trade talks, today’s Brexit votes in parliament, and tomorrow’s FOMC statement and press conference. However, both the DAX and FTSE rallied as their currencies came under pressure, and for the UK, commodity stocks picked up.

As for the vote today, from a total of 19 possible amendments, House of Commons Speaker John Bercow has selected seven to Theresa May's statement on the defeat of her Brexit bill - More on that here:

The next risk ahead of the Fed tomorrow will be when the two days of Sino-US trade talks that will take place on the same day in Washington. The US Justice Department filed a host of criminal charges against Chinese telecoms company Huawei which may be of something of a nuisance during the trade talks, but so far, the markets have not reacted significantly and prefer to wait for clarity. As for corporate news, British American Tobacco took the limelight in the top flight index following upgrades to 'overweight' from 'neutral' at Piper Jaffray. British American Tobacco (BATS) ended 2,510.00p 5.68% followed by Smith (DS) (SMDS) 334.40p 4.86% and Rio Tinto (RIO) 4,054.00p 2.78%. The worst three performers were Hargreaves Lansdown (HL.) 1,684.50p -6.26% then TUI AG Reg Shs (DI) (TUI) 1,169.50p -2.09% and NMC Health (NMC) 2,532.00p -1.09%.

FTSE levels:

A series of supportive lows around a key Fibo finally gave out earlier in the week, however, there has been a spike to the 50-D SMA confluence with the 21-D SMA and R2 with an increase of the ATR. However, the move has not closed above the 24th Jan highs at 6859 and the move was also capped by the 200-hr SMA. The path of least resistance is lower, but on a continuation of the upside, bulls will need to close above this resistance level and R3 located at 6880 or face hungry bears looking for a discount, targetting the descending channel 26th Dec low.

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