Coming off a substantial gain on Wednesday and closing back above the 7000 psychological support level, the FTSE100 index is set to open flat today following on from a mixed session on Wall Street. Rising oil prices offered some support; however lingering concerns over trade tensions and the Brexit saga weighed on demand. Britain's plan for exiting the EU is uncertain due to an impasse in parliament over what do with the Irish border, amid concerns that border infrastructure could reignite violence in the former conflict zone. The economic events calendar on Thursday has the European Central Bank's monetary policy meeting accounts at 1230 GMT and eurozone consumer confidence data at 1500 GMT.
The FTSE100 soars yesterday gaining £102.33 on the session in its biggest single-day gain in over two months. The index traded above the previous session high forming a white candle which is known as a bullish pattern. However, after failing to cross the 200-period moving average at 7080, there is a big chance of a sell-off going forward with the RSI signaling the start of a bearish move downwards.
Support: 6970 / 6855
Resistance: 7040 / 7115