Sat, Mar 25, 2023 @ 11:23 GMT
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Technical Outlook: FTSE 100 – Daily Cloud Top Needs To Contain Dips To Maintain Bullish Signals From Diamond Bottom Pattern

FTSE eased on fresh strength of pound on Wednesday, pulling back from cracked 7280 barrier (Fibo 38.2% of 7444/7179 correction).

Mixed technical studies are lacking clear direction signal for now, however, near-term action off 7179 (27 Mar low) remains supported by rising daily cloud that keeps alive hopes of fresh upside attempts.

Such scenario requires daily Tenkan-sen (7247) and daily cloud top (7241) to hold current easing, as near-term action has formed Diamond bottom pattern which is seen as reversal signal.

Recovery attempts then need to clear initial barrier at 7280 to trigger fresh upside, with break above daily Kijun-sen (7311) that previously capped recovery, needed to confirm reversal.

Conversely, violation of daily cloud top and diamond’s lower boundary (bull-trendline) would generate negative signal and risk further weakness

Res: 7280, 7311, 7343, 7367
Sup: 7247, 7241, 7222, 7190

Windsor Brokers Ltd
Windsor Brokers Ltd
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

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