The FTSE 100 has failed at the April high near 10,725, and momentum is beginning to deteriorate.
The RSI has slipped below 50, while both the MACD and DMI are turning increasingly negative, suggesting upside momentum is fading.
The market is currently testing the 55-day moving average around 10,410. A sustained break below this level would expose the 200-day moving average near 10,156.
The longer-term picture remains constructive—for now. The 200-day moving average has underpinned the bull trend for over a year and sits close to the 55-week moving average at 9,903, creating an important support zone.
However, the key level to watch is the March reaction low at 9,670. A weekly close below this level would break the pattern of higher highs and higher lows that defines the current uptrend and would significantly increase the risk that a major top is forming.
At present, the FTSE 100 remains range-bound, but the technical evidence suggests the balance of risk is beginning to shift to the downside.
Disclaimer:
The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
The RSI has slipped below 50, while both the MACD and DMI are turning increasingly negative, suggesting upside momentum is fading.
The market is currently testing the 55-day moving average around 10,410. A sustained break below this level would expose the 200-day moving average near 10,156.
The longer-term picture remains constructive—for now. The 200-day moving average has underpinned the bull trend for over a year and sits close to the 55-week moving average at 9,903, creating an important support zone.
However, the key level to watch is the March reaction low at 9,670. A weekly close below this level would break the pattern of higher highs and higher lows that defines the current uptrend and would significantly increase the risk that a major top is forming.
At present, the FTSE 100 remains range-bound, but the technical evidence suggests the balance of risk is beginning to shift to the downside.
Disclaimer:
The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
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The STA is the oldest technical analysis organisation in the world and to celebrate that fact, we have a free downloadable book on technical analysis here -
technicalanalysts.com
technicalanalysts.com
Exención de responsabilidad
La información y las publicaciones no constituyen, ni deben considerarse como, asesoramiento o recomendaciones financieras, de inversión, de trading u otro tipo, proporcionadas o respaldadas por TradingView. Obtenga más información en Condiciones de uso.