FTSE Index gained 5 points on Monday to end at 7451 as Brexit remains in an indecisive stage. At tomorrow’s EU summit, PM Theresa May will negotiate for an extension to the date of withdrawal upon which relies the course of Brexit. However, the manner of withdrawal remains a cause for concern given the UK parliament’s inability to agree on a plan over which the EU conditioned its approval of an extension. Until there is further clarity on the Brexit front and further updates on the US-China trade dispute, a continuation of the FTSE’s uptrend should remain elusive for today
Bullish momentum on the FTSE stalled on Monday as price failed to extend towards the key resistance at 7470. A break through this level is required to signal continuation of the uptrend and target higher levels. Failure to overcome 7470 will leave the price consolidating above 7420 before short-term weakness drives the index lower. A sustained move below the 7420 level will extend selling pressure towards the support at 7370.
Support: 7420/ 7390
Resistance: 7470/ 7510