UK100 CFD
PREPARE TO SHORT UK100 - once it break below 8275Team, the UK100 price at 8285; we want to see if it tries to reach the last week's high at 8305. However, we are waiting for it to break below 8275 -
we set the SELL STOP order at 8274., with stop loss at 8311.5
Target 1 at 8256.5
Target 2 at 8227.3
please note: we have not entered the short position yet until the price is confirmed at our order above.
UK100 SHORT POSITION - SET UP AND WAIT Team, we have set up the UK100 short position. The current price is 8270.
Entry short position at 8275-8272 (we are waiting for the confirmation)
Stop loss will be at 8300
Target 1 - 8256.9
Target 2 - 8235.8
Target 3 8219.7
Target 4 8197.40
Yesterday, we had both short and long UK100 - all hit nicely.
FTSE 100 Potentially topped. Strong pull-back incoming.Earlier this month (August 08, see chart below), we got the most optimal buy entry on FTSE 100 (UK100) that quickly hit the 8300 short-term Target, even earlier than we expected:
The price is now above the top (Lower Highs trend-line) of the Bearish Megaphone, a symmetrical pattern to May - August 2023. We expect this rally to top soon and then pull-back the same way to the symmetrical Support Zone, below the 1D MA50 (blue trend-line).
Shorters can target its top at 8150 and then buy for 8500.
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UK100 Bearish 4H TF(Divergence, BOS, Resistance)UK100 showing bearish momentum supported by 4H divergence with recent Break of Structure (BOS) and strong resistance. Entry is placed as Sell Stop below the previous LL. TP is at 1:1 and SL at previous HH.
Note: You can close half of the position at 8098 level (if you are not comfortable with price going more down).
What do you think, will it work?
US30 SingalUS30 Analysis - Daily
In this analysis, we are anticipating the formation of a Head and Shoulders pattern. Based on this pattern:
Sell Entry Point: A sell signal has been triggered near the neckline and resistance area. If the neckline breaks downward, a significant bearish move is expected.
Buy Entry Point: If the price bounces off the identified support area below and fails to break down, a buy signal will be activated. In this scenario, the market could move towards higher targets.
Overall, we expect a continuation of the bearish move if the neckline is broken, but if not, a potential reversal to the upside is likely.
UK100 H1 | Falling to pullback supportUK100 is falling towards a pullback support and could potentially bounce off this level to climb higher.
Buy entry is at 8,187.81 which is a pullback support.
Stop loss is at 8,118.00 which is a level that lies underneath a pullback support.
Take profit is at 8,301.72 which is a pullback resistance that aligns with the 78.6% Fibonacci retracement level.
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overlap resistance ahead?UK100 is rising towards the pivot and could reverse to the 1st support.
Pivot: 8,257.05
1st Support: 8,122.00
1st Resistance: 8,367.16
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FTSE 3rd straight green day after the bottom.FTSE 100 (UK100) is having perhaps the most convincing bottom formation out of all major global indices as despite the selling pressure evident on each day, it is (so far) today on the 3rd straight green 1D candle since Monday's Low.
That Low came just a few points from touching not only the 1D MA200 (orange trend-line) but also the Higher Lows Zone (started on October 27 2023). At the same time, the Bearish Megaphone since its All Time High (ATH), displays striking similarities with the April - August 2023 pattern.
In fact, this week's Low seems to be similar with the August 18 2023 Low. That initiated a rebound that almost touched the 0.786 Fibonacci retracement level, before another correction. Even the 1D RSI patterns are similar among the two fractals.
As a result, we turn bullish again on FTSE here, targeting 8300 (just below the 0.786 Fib).
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FTSE 100 just broke below May's lows - Big crash on the way?M Formation has been fomring on the FTSE 100 since May 2024.
We then had a major breakout just yesterday with the price going below 20MA.
The downtrend line (red) is in check and we can expect further downside to come.
Target will be around 7,591
England's Economic Crossroads and Banking ResilienceEngland’s economy is facing a complex array of challenges, driven by domestic social unrest, geopolitical tensions, and evolving labor dynamics. Recent riots, sparked by both marginalized Muslim communities and extreme right-wing groups, highlight deep-seated socio-economic issues. These tensions have been exacerbated by international events, such as the October 7, 2023, incident in Israel, which reverberated through England's Muslim community.
In addition to these social and geopolitical pressures, the economic indicators present a mixed picture. Inflation, unemployment, and a housing crisis have strained the economy, while regional conflicts, such as the Middle East and Russia-Ukraine wars, pose further risks to energy prices, trade, and security.
Amidst this backdrop, the Bank of England’s recent declaration that top UK lenders can be dismantled without taxpayer bailouts is a significant milestone. This statement reflects the progress made since the 2008 financial crisis in enhancing the resilience of the UK banking system through stricter capital requirements and resolvability assessments. However, emerging risks such as climate change, cyberattacks, and global financial interconnectedness require continuous vigilance and robust regulation.
Inspiration and Challenge:
As traders and investors, understanding the interplay between social dynamics, geopolitical tensions, and financial stability is crucial. England’s current economic state challenges us to think beyond traditional metrics and consider the broader implications of regional conflicts and social unrest on financial markets. The resilience of the UK banking system offers a glimmer of stability, but it also calls for ongoing scrutiny of emerging risks. Engage with this analysis to deepen your strategic insights and navigate the complexities of the global economic landscape.
FTSE 100 forms bullish signalThe FTSE is among a handful of major global indices signaling a rebound in the stock markets following this week's earlier selling pressure.
The UK benchmark index broke below a well-established support level around 8110 area on Thursday, before quickly recovering to rally into the close. The false breakdown marks a key reversal pattern and especially as the index ended up with a hammer candle on the daily chart, rising above the 21-day exponential moving average.
Today, the FTSE is rising above the trend line of its triangle continuation pattern to the upside. A close above it would be bullish. Yesterday's high at 8228 is now an important short-term support level that needs to hold.
By Fawad Razaqzada, market analyst at FOREX.com
UK100 Extends Consolidation on Murky Monetary Policy OutlookUK100 has pulled back following its May record peak and has entered consolidation mode, as uncertainty around BoE’s policy path has taken hold. Although policymakers have pointed to a less restrictive stance ahead, there is no clarity around the timing of a pivot. The last inflation print did not help, as market pared back bets for a cut in August, since CPI persisted at 2% and the services component remained sticky.
This sustains risk for a breach of the pivotal 38.2% Fibonacci of this year’s rally, which would bring the 200Day EMA (blue line) in the spotlight, although deeper weakness does not look easy.
The central bank has hinted at lower rates ahead, price pressures have moderated and the economy exited its brief recession. Furthermore, the new government could usher in a much needed period of stability, while the change in listing rules cam reinvigorate the IPO market and boost sentiment.
UK100 has already defended the 38.2% Fibonacci multiple times, containing the correction to levels that reaffirm the upside potential. Bulls have the ability to reclaim 8,369 and eventually push for new all-time highs (8,488).
Stratos Markets Limited (www.fxcm.com):
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Stratos Europe Ltd (trading as “FXCM” or “FXCM EU”), previously FXCM EU Ltd (www.fxcm.com):
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Stratos Trading Pty. Limited (www.fxcm.com):
Trading FX/CFDs carries significant risks. FXCM AU (AFSL 309763). Please read the Financial Services Guide, Product Disclosure Statement, Target Market Determination and Terms of Business at www.fxcm.com
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Losses can exceed deposits.
Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this video are provided on an "as-is" basis, as general market commentary and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interests arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed via FXCM`s website:
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Past Performance is not an indicator of future results.
$GBIRYY - CPI (YoY)ECONOMICS:GBIRYY 2.3% (April/2024)
source: Office for National Statistics
The annual inflation rate in the UK eased to 2.3% in April 2024,
the lowest since July 2021, compared to 3.2% in March and market forecasts of 2.1%.
The largest downward pressure came from falling gas (-37.5% vs -26.5% in March) and electricity (-21% vs -13%) cost, due to the lowering of the Office of Gas and Electricity Markets (Ofgem) energy price cap in April.
At the same time, prices slowed for food (2.9%, the lowest since November 2021 vs 4%) and recreation and culture (4.4% vs 5.3%).
On the other hand, the largest, partially offsetting, upward contribution came from cost of motor fuels.
The average price of petrol rose by 3.3 pence per litre between March and April 2024 to stand at 148.1 pence per litre, up from 145.8 pence per litre in April 2023. Prices also rose faster for restaurants and hotels (6% vs 5.8%) and miscellaneous goods and services (3.6% vs 3.4%).
Compared to the previous month, the CPI rose 0.3%.