Chart pattern formed- Cup and handle
Ichimoku Analysis (1-hour chart)
Tenken-Sen- 5837
Kijun-Sen- 5808
FTSE100 trades slightly weak after a jump of more than 200 points from a low of 5649. The jump came due to a strong global stock market especially S&P500. S&P500 has bounced more than 5% in the past 1-week from 2732. But the spread of coronavirus will prevent stocks to gain further as growth is expected to deteriorate in the coming months.
Technically, near-term resistance is 5870, and any violation above targets 5900/5955/6000. Major trend reversal only if it breaks 5955.
On the flip side, immediate support is at 5800, and an indicative break below that level will drag the pair till 5778/5738/5700.
It is good to buy above 5870 with SL around 5820 for TP of 5955/6000.
