UK FTSE 100 (.FTSE) trades lower on renewed US-China trade fears, Virgin Money soars
The FTSE 100 is trading lower as President Donald Trump signed into law a bill that favours the Hong Kong protestors. President Trump’s signing of the Human Rights and Democracy Act is likely to stir tensions with China just as the two countries hope to secure a deal to end the long-running trade war.
At 8.38am, the FTSE 100 was down 0.4%, 31.85 points lower to 7,397.93. Among the biggest fallers is James Fisher & Sons, shedding 1.5% to £19 after it said it expected profit to fall short of expectations, but above that of last year amid improved market conditions in the oil and gas sector.
Virgin Money UK soared 20.2% to 171.9p despite reporting a statutory loss after tax of £194m for the full year to 30 September 2019, as it took additional PPI provisions of £385m in the second half of the year. The Go-Ahead Group tumbled 3.4% to £22.36 after it reported slower regional bus segment passenger volumes and revenues growth on-year, and lowered expectations for its new bus company in Manchester.
Premier Asset Management descended 2.1% to 165p as it revealed net outflows of £233m for the year ended 30 September 2019, following a ‘more difficult year for the business’.
Phoenix Group, the pensions and life consolidator, nudged up 0.1% to 734.3p, after it reported £707m of cash generation in 2019, exceeding the upper end of its 2019 cash generation target range of £600m to £700m.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 7,578.51.
The projected lower bound is: 7,256.76.
The projected closing price is: 7,417.63.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 90.5980. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 14 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 59.61. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 80 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 112.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 4 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 2 period(s) ago.
Rex Takasugi – TD Profile
FTSE 100 INDEX closed down -13.350 at 7,416.430. Volume was 20% below average (neutral) and Bollinger Bands were 41% narrower than normal.
Open High Low Close Volume___
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 7,340.79 7,289.91 7,316.78
Volatility: 11 14 13
Volume: 702,962,240 745,272,320 728,611,200
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FTSE 100 INDEX is currently 1.4% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of .FTSE at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on .FTSE and have had this outlook for the last 22 periods.