. Daily Index Analysis - FTSE 100 Surges Amid Middle East Tensions

Daily Index Analysis – FTSE 100 Surges Amid Middle East Tensions

Daily Index Analysis – FTSE 100 Surges Amid Middle East Tensions

10 Oct 2023

Introduction:

In the global indices market, Asian markets are riding the momentum of overnight gains on Wall Street. While the Shanghai composite experiences a slight dip at 0.70%, indices in Singapore, Hong Kong, Japan, and Australia see significant boosts. In Europe, stocks rebound strongly as bond yields retreat, with gains in Germany, France, and the UK. Meanwhile, on Wall Street, the major indexes rise as investors closely monitor developments in the Middle East conflict, with energy stocks on the upswing.

Market In Focus for today – FTSE 100

On Tuesday, European markets strongly recovered as dovish remarks from U.S. Federal Reserve governors and falling oil prices helped calm investor jitters following unrest in the Middle East that had caused a flight to safety.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7548.34 | Positive Crossover | Bullish
  • MA 20: 7528.21 | Positive Crossover | Bullish
  • MA 50: 7544.11 | Positive Crossover | Bullish

Simple:

  • MA 5: 7534.06 | Positive Crossover | Bullish
  • MA 20: 7498.01| Positive Crossover | Bullish
  • MA 50: 7588.86 | Positive Crossover | Bullish

RSI (Relative Strength Index): 61.02 | Buy Zone | Bullish

Stochastic Oscillator: 100.00 | Buy Zone | Positive

Resistance And Support Levels:

  • R1: 7617.9 | R2: 7759.8
  • S1: 7509.4| S2: 7405.1

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Stop Buy : 7659.7 | Take Profit: 7759.8 | Stop Loss: 7592.9.

Elsewhere in the Indices Market

Asian markets trade higher following overnight gains on Wall Street.

The Shanghai composite is down at 0.70%. Overall, the Singapore MSCI up 1.14% to 284.52. Over in Hong Kong, the Hang Seng Index up by 0.84% to 17,664.73. In Japan, the Nikkei 225 up 2.43% to 31,746.53, while the Topix index was up 2.12% to 2,312.19. South Korea’s Kospi down 0.26% to 2,402.58. Australia S&P/ASX 200 up 1.01% to, 7,040.60.

European stocks rebound sharply as bond yields pullback.

The DAX futures contract in Germany traded 1.66 higher, CAC 40 futures in France up 1.49% to 7,126.10 and the UK 100 futures contract in the U.K. up 1.50% to 7,604.71.

US STOCKS-Wall Street rises as investors follow news on the Middle East conflict.

As investors processed the most recent information regarding the battle between Israel and the Palestinian Islamist group Hamas, Wall Street’s major indexes ended the day higher, and energy stocks increased.

Indexes: Dow up 0.59%, S&P 500- up 0.63%, Nasdaq up 0.39%.

Corporate News:

Netflix Inc (NFLX) up 1.16% at 385.95, Tesla Inc. (TSLA) down 0.33% at 259.67, Apple Inc. (AAPL) up 0.85% at 178.99. JPMorgan Chase & Co (JPM) down 0.23% at 144.77, Morgan Stanley (MS) down 0.52% at 79.91.

Key Economic Events & Data Release Today:

(GBP) BoE MPC Member Mann Speaks at 01:30.

(AUD) NAB Business Confidence (Sep) Actual 1, Previous 2 at 06:00.

(AUD) Building Approvals (MoM) Actual 7.0%, Forecast 7.0%, Previous –8.1% at 06:00.

(EUR) ECB President Lagarde Speaks at 17:30.

(USD) FOMC Member Bostic Speaks at 19:00.