The FTSE 100 is beginning to rise towards the top of a multidiagonal pattern again. It looks to me like this is setting up for a short, but beware that the FTSE has been difficult of late to chart accurately.
It' hard to give a sense of direction here coming up to this inflection point, but with negative Trump news breaking on ObamaCare and Travel Restrictions, I would perhaps have a natural short bias here at these strongly bid up levels.
I like this trade as it looks like Darwin are moving out of the stock, which should provide a catalyst for a move upwards.
The technical benefit of the multidiagonal confluence suggest this could go on a good run upwards in the coming days.
There's a multidiagonal target on Cable (GBP/USD) at just below the 1.30 level that looks like it could be met. At the moment it looks like it will probably get there via a short squeeze on GBP shorts rather than necessarily momentum, but we'll see...
There's a nice buy confluence on the chart pointing towards a move in late March here. I think there's a chance it could break early though, as there are a lot of other companies with confluences in early/mid march and this could be dragged up accordingly.
A long term multidiagonal confluence occurred here just after the new yea. While there hasn't been a significant shift to the upside since then, I like the recent update and the positive oil price environment.
These factors combined suggest to me that we could be due a good rise here.
Uk gilts look like a short here on the break of multidiagonal support. There's a confluence somewhere between April to August so i would be expecting a drop to around the 11.50-12.00 level on a longer term basis.
A short set up is nicely appearing here at this long term multidiagonal. Expect a big move downward here.
Also, this corroborates with my short views on the FTSE, as HSBC amounts for (currently) 7.3% of thw weighting of the FTSE 100.