Stocks in London are set to bounce back slightly today amid hopes that a US-China trade agreement could still be reached at the upcoming G20 summit later this week. The FTSE fell 20 points yesterday. The Bank of England will release its annual stress test results for major UK banks at 1630 GMT, and that may impact trading today. The annual stress test results come as the UK government is set to release its analysis of the economic impact of Brexit as Theresa May battles to save her deal for leaving the EU.
The Footsie finished Tuesday at 7017 losing £19.15 and closing within the previous day's range as prices failed to decisively move beyond the prior day's trading range. Prices are trading close to the key technical support level at 6970 and have been unable to break key resistance level at 7040. Looking ahead, in the absence of any fundamental catalyst, the UK index may keep trading in the same range for the medium term.
Support: 6970 / 6855
Resistance: 7040 / 7115