FxWirePro: FTSE100 trades above 300- day EMA,jump till 7290 likely

FTSE100 is trading higher after a major sell-off of more than 120 points from high of 7371. The sell-off was mainly due to fear of recession in US. US 10 year yield hits 2.37% lowest since Dec 2017.All major stock market recovered sharply from this major sell-off. Jacob Rees-Mogg who heads pro-Brexit hinted that he will support May’s Brexit deal.GBPUSD hits high of 1.3260 after the news and lost more than 80 pips from the high. Markets eye UK Brexit Parliament vote today at 15:00 GMT and results will be out after 21:00 GMT.The index hits high of 7231 and is currently trading around 7226.

On the lower side, any break below 7185 (20- day MA) will drag the index down till 7140/7124. Any violation below 7075 will drag the FTSE100 till 7042/7000.

The near term resistance is around 7232 (200- day MA) and any break below will take the FTSE100 till 7262/7300/7325. Any bullish continuation only above 7371.

It is good to buy on dips around 7175-80 with SL around 7130 for the TP of 7262/7300.