FTSE100 PREMARKET OUTLOOK: 07MAY 2009

U.K. FTSE100 (4396)

this index encountered resistance at 4440 (its 200dma) area and got repulsed from there.  But the momentum suggests that it would overcome this resistance and then the target would be 4600 level in the days ahead.

It is holding just above its immediate support at 4390.  But short term traders can buy on decline as long it does not give a close below 4350.  Traders with risk appetite can look for an opportunity on bounce from 4325 and 4300. 4295 would be the final stop loss for existing longs in the short term.  Medium term stays positive as long as above 4200.

You could also have a look at yesterday's outlook, though the support levels have changed for today.

Disclaimer: the outlook on this blog is not an invitation to trade accordingly.  Use your own discretion as tradigng in the markets also involves financial losses.