FTSE100 has formed a double bottom around 7075 and shown a massive recover. The index is trading in narrow range between 7042 and 7215 for past 10 trading day. The Brexit uncertainty is major factor which is putting pressure on FTSE100. UK Parliament has rejected no deal Brexit and voted by 312 to 308 a margin of four.Overall GBP was trading strong especially against USD and jumped more than 400 pips from low of 1.29600.
On the lower side, near term support is around 7159 (20- day MA) and any violation below will drag the index down till 7124 (61.8% fib)/7095/7070. Minor trend reversal only below 7042. Any violation below 7042 targets 6990.
The near term resistance is around 7215 (300- day EMA) and any jump above that level will take the index till 7261. Any break above 7261 confirms bullish continuation.
It is good to buy on dips around 7140-45 with SL around 7120 for the TP of 7215/7260.
