. FTSE 100 Price Forecast & Latest Technical Analysis-02-May-2023

FTSE 100 LATEST TECHNICAL ANALYSIS AND PRICE FORECAST – 02 MAY 2023

FTSE 100 LATEST TECHNICAL ANALYSIS AND PRICE FORECAST – 02 MAY 2023

02 May 2023

The FTSE 100 little changed, as HSBC tripled profits and US markets fell.

  • The FTSE 100 is down 5 points and trading near opening levels.
  • While BP declines due to a cautious outlook, HSBC rises as profit triples.
  • US markets are anticipated to begin lower.

The FTSE 100 rose steadily on Tuesday following the long weekend, although oil company BP PLC fell due to the market’s disappointment at a US$1.75 billion share repurchase, despite better-than-expected first-quarter profits.

At 8:15 am, the FTSE 250 was up 82.20 points, or 0.42%, and the leading index in London was up 22.68 points, or 0.29%, to 19,507.34.

After BP announced a US$1.75 billion share buyback and stated that it expects to be able to deliver share buybacks of about US$4.0 billion per year, at the lower end of its US$14-18 billion capital expenditure range, shares in BP fell by 3.7%.

The bank’s first quarter profit tripled, and it reintroduced the first quarter dividend while committing to a US$2 billion share buyback.

Data from the Nationwide indicated that home prices rose monthly for the first time in seven months, giving house builders a lift.

The first quarter results of HSBC were warmly received, and shares increased by 4.6%.

According to Jefferies, the figures were distinguished by excellent capital generation and a US$2.0 billion buyback.

The broker reported that pre-tax profit was 35% more than expected and 26% higher than the consensus after being adjusted for gains from the SVB UK acquisition and the reversal of the impairment relating to the French company.

According to figures released on Tuesday by the British Retail Consortium, UK shop price inflation moderately slowed down in April but still hovered around record highs.

Shop price inflation decreased marginally from 8.9% in March to 8.8% in April on an annual basis. However, the BRC noted that this was higher than the 3.0-month average rate of 8.7%.

FTSE 100 TECHNICAL ANALYSIS DAILY CHART:

FTSE 100 is currently trading in up channel.

FTSE 100 is currently trading above 20&50 SMA.

RSI is in buying zone which suggests bullishness and Stochastic is suggesting downtrend.

Immediate resistance is at 7875.08 & its immediate support level is 7859.34

HOW TO TRADE FTSE 100 IN THIS WEEK

The FTSE 100 is currently moving up. Price has already made a good advance; therefore, a small retracement is now to be expected. Price is currently in a support zone; if it breaks through, we can expect a fall.

TRADE SUGGESTION- SELL AT 7859.34, TARGET AT 7807.93, SL AT 7881.37