#FTSE #Gold The 8 o’clock NHS clap arrived, heralded by the sound of ships horns in the sea loch outside. To be honest, since inception, the event has been completely forgotten every week but tonight, while studying FTSE movements, an open office door ensured this gesture of support was actually remembered, belatedly.
The sound of ships horns aroused curiosity, apparently the sheltered sea lochs in Argyll are hosting several superyachts, their owners opting to ride out Covid-19 in an area enjoying reasonable weather (only at this time of year). These vessels arrived, dropped anchor, turned off their location beacons, and are completely ignored. However, a few helicopters leave Glasgow Airport in the evening, their radar tracks ceasing on arrival at a floating destination. It must be hell for those unfortunate folk, trapped on a luxury yacht and only able to travel by chopper! We wonder if these vessels tooted their support for NHS staff?
Of course, this has nothing to do with the FTSE except, like the sleeping superyachts, the market appears somewhat becalmed. When we drill down to “minute by minute” FTSE movements since the Coronavirus Pandemic hit its (initial?) bottom in March, something quite fascinating appears. We can calculate a Glass Ceiling at 6,103 points and surprisingly, the market seems to acknowledge it’s there, despite Covid-19 hysterics mixed with the UK PM and his amazing invisibility cloak.
Back in April, the FTSE managed to actually close a session above 6,103 points and again, on May 19th, the FTSE was spiked in the opening second above this level. While neither movement was to prove viable in generating recovery, they each contributed to our calculation which highlights 6,103 as something important. As a result, the situation now suggests CLOSURE above 6,103 or movement above 6,155 (the high from April) and we shall now regard the FTSE as heading up to an initial 6,450 with secondary, if bettered, at 6,650 and a strong suggestion of some hesitation.
To return to the immediate, how does Friday look? Quite an intimidating number of folk view this weekly report and a market experiencing a 100 point trading range for the last week certainly makes us nervous.
Near term, movement above 6094 points is supposed to promote recovery to a useless initial 6120 points. If exceeded, secondary calculates at 6149 points though, there is a very real chance any positive mood on the market could continue a drive up to 6186 points.
The alternate scenario allows for weakness next below 6,000 points driving reversal to 5962 initially with secondary, if broken, at 5915 points. As the chart below, neither ambition is particularly threatening with the UK market needing break below 5,800 to justify visiting the underwear department, when next doing on-line shopping.
Or is it online shopping? The internet has brought some really sneaky changes, this being a prime example of language evolving. Unfortunately, finger memory tends ensure the original “correct” spelling is typed without question!
|Time Issued||Market||Price At Issue||Short Entry||Fast Exit||Slow Exit||Stop||Long Entry||Fast Exit||Slow Exit||Stop||Prior|
21/05/2020 FTSE Closed at 6015 points. Change of -0.86%. Total value traded through LSE was: £ 6,663,000,786 a change of 12.03%
20/05/2020 FTSE Closed at 6067 points. Change of 1.08%. Total value traded through LSE was: £ 5,947,398,391 a change of 10.61%
19/05/2020 FTSE Closed at 6002 points. Change of -0.76%. Total value traded through LSE was: £ 5,376,891,155 a change of -9.59%
18/05/2020 FTSE Closed at 6048 points. Change of 4.29%. Total value traded through LSE was: £ 5,947,351,021 a change of 14.48%
15/05/2020 FTSE Closed at 5799 points. Change of 1.01%. Total value traded through LSE was: £ 5,195,107,449 a change of -15.28%
14/05/2020 FTSE Closed at 5741 points. Change of -2.76%. Total value traded through LSE was: £ 6,132,234,871 a change of 5.73%
13/05/2020 FTSE Closed at 5904 points. Change of -1.5%. Total value traded through LSE was: £ 5,799,712,485 a change of 7.88%