Brexit uncertainty is likely to continue for an extended period, with Sterling testing primary support at 1.13 against the Euro. Breach would signal a test of the 2016 low at 1.10.
The FTSE 100 retraced to test support at 7400, with bearish divergence on Twiggs Money Flow indicating medium-term selling pressure. Respect would confirm the target of 7700*. But breach of the rising trendline is as likely, and would warn of a test of primary support at 7100.
* Target: 7400 + ( 7400 – 7100 ) = 7700
Political uncertainty, with a hung parliament, increased downward pressure on Sterling which is testing primary support at 1.13/1.14 against the Euro. Breach would signal a test of the 2016 low at 1.10.
The FTSE 100 stalled at 7600, with bearish divergence on Twiggs Money Flow indicating medium-term selling pressure. Retracement that respects support at 7400 would re-affirm the target of 7700*. But breach of the rising trendline is as likely, which would warn of a test of primary support at 7100.
* Target: 7400 + ( 7400 – 7100 ) = 7700
Sterling continues to test primary support at 1.140 Euro. Breach would signal a decline to the 2016 low at 1.100.
The FTSE 100 advance stalled, signaled by a doji on the weekly chart, with bearish divergence on Twiggs Money Flow indicating medium-term selling pressure. Retracement that respects support at 7400 would re-affirm the target of 7700*.
* Target: 7400 + ( 7400 – 7100 ) = 7700
Sterling weakened against the Euro, with GBPEUR headed for a test of primary support at 1.135/1.140. Breach would signal a fresh decline to test the 2016 low at 1.100.
The FTSE 100 shrugged this off, advancing towards its medium-term target of 7700*. Rising Twiggs Money Flow indicates long-term buying pressure.
* Target: 7400 + ( 7400 – 7100 ) = 7700
The FTSE 100 is retracing to test the new support level at 7400. Respect is likely and would indicate an advance to 7700*. Declining Twiggs Money Flow indicates medium-term selling pressure but the long-term signal remains bullish.
* Target: 7400 + ( 7400 – 7100 ) = 7700
The FTSE 100 rallied off support at 7100. Breakout above 7400 would signal a fresh advance. Declining Twiggs Money Flow indicates medium-term selling pressure; the long-term signal, however, remains bullish.
Pound Sterling is strengthening against the US Dollar as well as the Euro (mentioned last week). Recovery of the Pound above 1.27 (GBPUSD) completes a triple bottom, suggesting that a base is forming. Crossover of 13-week Momentum above zero indicates a primary up-trend.
Breakout above 1.20 against the Euro (GBPEUR) would strengthen the signal.
The FTSE 100 continues to test support at 7100. Declining Twiggs Money Flow indicates medium-term selling pressure. A rising Pound is likely to result in a Footsie test of primary support at 6700.
Pound Sterling strengthened this week on news of an early election. Despite Brexit fears the Cable, as it is commonly referred to by traders, has been strengthening for several months. Crossover of 13-week Momentum above zero suggests a primary up-trend. Breakout above 1.20 against the Euro would confirm the signal.
The FTSE 100 retreated from resistance at 7400. Rising troughs on Twiggs Money Flow indicate long-term buying pressure but reversal below 7100 would warn of a correction.
* Target: 7400 + ( 7400 – 6700 ) = 8100
Dow Jones Euro Stoxx 50, reflecting the top 50 stocks in the Euro monetary area, is consolidating in a narrow band below 3500. Rising Twiggs Money Flow indicates strong buying pressure. Breakout above 3500 is likely and would signal another advance.
The FTSE 100 is consolidating in a narrow range below 7400. Rising troughs on Twiggs Money Flow indicate strong buying pressure. Breakout above 7400 is likely and would offer a long-term target of 8000*.
* Target: 7400 + ( 7400 – 6700 ) = 8100
Germany’s DAX is testing the band of resistance between 12000 and its April 2015 high of 12400. Rising troughs on Twiggs Money Flow indicate strong buying pressure. Breakout is expected but we are likely to experience consolidation below 12400, or a moderate correction, ahead of this.
The FTSE 100 followed through above resistance at 7350, signaling another advance. Rising troughs on Twiggs Money Flow indicate strong buying pressure. Target for the advance is 7600*.
* Target: 7350 + ( 7350 – 7100 ) = 7600
