Ahead of US earnings, the FTSE 100 declines
Despite stronger than anticipated UK borrowing data and investors’ anticipation for a significant batch of US tech earnings this week, the FTSE 100 began lower.
At 8:10 am London time, the lead index was down 32.72 points, or 0.41%, while the FTSE 250 was down 61.85 points, or 0.32%, to 19,165.09.
The UK government borrowed £139.2 billion throughout the course of the entire 2022–2023 fiscal year, which was less than the official projections made as recently as March. This gave the government a boost at the beginning of a new fiscal year.
Despite the second-highest borrowing total for March since records began in 1993, borrowing was £13.2 billion less than the Office for Budget Responsibility had predicted, according to the Office for National Statistics.
However, revenues in 2022–2023 were £4.1 billion less than what the OBR had predicted, indicating that economic growth was not as strong as the fiscal watchdog had anticipated.
According to the ONS, the public sector’s net worth was £605.8 billion in the red at the end of March.
Back in London, the early focus will be on Whitbread’s full-year results and Associated British Foods’ half-year results, which own Primark. Another busy day in the UK thanks to Microsoft and Alphabet results.
FTSE 100 TECHNICAL ANALYSIS DAILY CHART:
FTSE 100 is currently trading in up channel.
FTSE 100 is currently trading above all SMA.
RSI is in buying zone which suggests bullishness and Stochastic is suggesting no trend.
Immediate resistance is at 7902.6 & its immediate support level is 78851.9
HOW TO TRADE FTSE 100 IN THIS WEEK
The FTSE 100 is moving upward. Price was rising until it faced resistance; after that, price stayed in the same range. Price is currently facing resistance at the same level it has been trying to break over the past few days; if the resistance is broken, we can expect a rise in price.
