The FTSE100 is seen opening slightly lower today, tracking Asian markets, as the US downplayed hopes of an imminent trade deal with China. In the UK, Theresa May has reportedly secured a deal that will allow Britain to remain in the customs union after Brexit and avoid a hard Irish border, resolving the biggest stumbling block in negotiations with the EU. The US focus this week will be the US midterm elections on Tuesday and the US Federal Reserve's latest monetary policy decision, due on Thursday. The economic events calendar today has services PMI readings from the UK at 0930 GMT and US at 1445 GMT.
FTSE finished the week 2.23% higher at 7094, but prices failed to decisively move beyond the prior week's trading range. The longer-term, monthly volatility is currently lower than usual for FTSE. Even though on the short-term things still look bullish and prices are still trading above the 200-period MA, things look different on a daily chart where clearly a Shooting Star is forming and this candlestick pattern is known as bearish.
Support: 7115 / 7050
Resistance: 7185 / 7225