FTSE: Can Support at 7383 Hold Amid Pound Strength and Trade Tensions?
Fiona Cincotta November 28, 2019 7:03 PM
The FTSE has kicked off trading on the back foot weighed down by the election boosted pound and trade concerns
The FTSE has kicked off trading on the back foot weighed down by the election boosted pound and trade concerns, which are overshadowing a jump in domestically focused stocks.
Trade headlines are driving risk off sentiment. President Trump quietly signing the Hong Kong bill into law isn’t going unnoticed and investors are waiting to see the extent of the impact that his actions have on the fragile US – China relationship. Whilst risk appetite has taken a hit, the timing has been crucial with US stock markets closed for Thanksgiving.
Levels to watch
FTSE is down 0.3% in early trade. The index remains above its 200, 100 and 50 ma. Support can be seen at 7384, the low from the previous session. A breakthrough here could see the FTSE drop towards 7338. On the upside, a move above 7447 could indicate a more bullish outlook for the index.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.
Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit cityindex.com.sg for the complete Risk Disclosure Statement.
Cryptocurrencies are not legal tender currency and trading of derivatives on Cryptocurrencies are currently not covered under any regulatory regime in Singapore. Consequently, investors should be aware they do not have protection under the Securities and Futures Act (Cap. 289). Please ensure that you are fully aware of the risks.