FTSE 100 INCHES UP AS OIL MAJORS, EXPORTERS LEAD GAINS
FTSE 100 futures are currently trading at 7100.8-higher by 0.57% as compared to the previous closing. The contract closed in the positive territory in the last trading session also.
In the cash markets, the blue-chip share index added 0.22% to 7,105.17 at the time of writing.
The midcap index FTSE 250 was down 0.77% at the time of writing.
U.K. Stocks fell earlier today after the PM moved to limit parliament’s opportunity to derail his Brexit plans by reducing the amount of time it sits now and the EU exit day.
Brexit-sensitive domestic shares dropped today as renewed worries about the country leaving the European Union without a deal pressured the Pound and weakened investor appetite for shares sensitive to slowing consumer spending.
The rising possibility that Britain could leave the bloc without an agreement kept traders on the sidelines.
Household Goods & Home Construction sector underperformed today due to concerns that a hard Brexit will damage the British economy. Barratt Developments fell 3.3%, Taylor Wimpey lost 3.2% and Persimmon declined 3.3% at the time of writing. Housebuilders were also the top losers on the blue-chip index.
Stocks of Airlines which are sensitive to consumer spending also fell today.
Imperial Brands inched down 0.34% and British American Tobacco dropped 0.41% after news that Altria and Philip Morris were in talks to reunite.
On the other hand, oil major BP gained 1.80% after it agreed to sell all its Alaskan properties for $5.6million to privately held Hilcorp Energy Co. on Tuesday.
Stocks of mining giants were mostly trading in positive territory at the time of writing. Antofagasta and Anglo American added 0.49% and 0.28% respectively at the time of writing.
On the technical front, the RSI is currently at 44.05% and suggests that the market can move in the upward direction. The current price is above the MA5 (7094). The current price is below the middle line of the Bollinger Bands but is heading upwards.
Overall Bias is Positive and short-term trades can be initiated with below mentioned Stop Loss and Profit targets.
Trade Suggestion- Limit Buy at 7092. Take Profit at 7127. Stop Loss at 7074