UK100 Bullish

Price within the UK100 index has shown some bullish movement after we saw price show a break of the ascending trendline. Price has broken back above the ascending trendline, and the 7455 resistance. As price has now shown a bullish break, we are looking for it to continue and print a retest of the 7455 area for a potential long position.

In that case we could see it go further to the upside as this would also signal an improvement in the UK economy. However, given the current economic condition of the UK, we might as well consider the possibility of the UK100 going down in accordance with the UK currency that is also depreciating these past days.

Below 7300, market sentiment would turn from bullish to bearish and we can expect major bear target at 7100. On the upside, first bull target is seen at 7520, second is 7600.

Chart: UK100 D1