FTSE 100 maintains its breakout and keeps rising, in line with the medium-term bullish outlook of the Credit Suisse analyst team. The index is set to target the 7463 mark.
Near-term support at the 7148 63-day average to hold
“FTSE 100 remains above the top of its four-month range at 7218/24 and keeps steadily rising, hence confirming the previous bullish continuation pattern breakout, in line with the still bullish trend-following setup, with resistance seen next at the ‘measured objective’ to the bull ‘triangle’ from earlier this year at 7360. The next levels above here are seen at 7463, which is the downtrend from the 2018 high.”
“Near-term support remains seen at the 63-day average at 7138, which now ideally holds to support our base case that the market is now back in a fresh trending phase higher. More important supports remain at the broader range lows and the 200-day average at 6977/46, which we expect to hold if we see an unexpected turn lower.”