FTSE UK100 attempts to bounce
The FTSE UK100 seems stuck in consolidation after failing to break through the 8375 resistance. The narrowing consolidation has offered a playground for range trading. The recent bottom, around 8250, is critical in sustaining the optimism as its breach would lead to a broader liquidation and drive the price action into the 8000 range. In the short term, 8250 is the closest level to support the current bounce, and a close above 8325 could bring forward 8400.
GBPUSD seeks support
The US dollar clawed back losses after the pair hit a fresh high at 1.2800. A fall below 1.2700 has strengthened the bearish bias as the price hits a small consolidation. This level is now a key resistance to clear before the pound can climb higher. As the RSI bounces away from the oversold area, a hold at 1.2650 has led some sellers to take a profit, and 1.2570 is the bulls’ second layer of defence in case of a continued move lower.
USOIL remains positive
WTI switched to a bearish bias as prices attempted to cover the recent weekend gap. The price is looking to stabilise after giving up some gains from the bullish rally that began over a week ago. The bounce has come under pressure at 70.50 as sellers try to double down. 70.00 is a significant level to keep the rebound valid and prevent a deeper correction. On the upside, a decisive breakout could prompt sellers to cover and attract momentum buying, with 71.40 as a potential target.