Tuesday, 23 December 2014

UK Stock Market Analysis and Stock Pick of the Day


MARKET OVERVIEW
Weakness in the resource sectors limited gains in London on Monday, though equity markets still managed to register their fifth straight day of gains as investors readied themselves for the Christmas break.The FTSE 100 finished 0.5%higher at 6,577, but pulled back after reaching a high of 6,620.95 earlier on. It has not exceeded this level since 8 December when it closed at 6,672.15.The FTSE has rally during the session on Monday, but turned back around as the 6600 level is far too much in the way resistive.Market can show short term correction any pull back rally will be buying opportunity and market can be headed towards 6900 levels.


TOP GAINER
Name
Close Price
Change %
Enterprise Inns
110
2.8
Compass Group
1107
1.93
Bae Systems
471.3
1.86
Kingfisher
330.1
1.82
Johnson Matthey
3410
1.76

TOP LOSER

Name
Close Price
Change %
Tesco Plc
181
-2.37
Bg Group
886.1
-1.69
Anglo American
1173.5
-1.63
Rsa Insur Grp
445.2
-0.98
Antofasta
738.5
-0.81


UK Stock Pick of the Day : WH Smith Plc Ord 

 

RECOMMENDATION BUY
TARGET 1430
The Major trend of WH Smith Plc Ord is bullish and it's consolidating near to resistance level at higher level with positive bias can show northward journey .One can initiate long position in the stock above the level of 1340 with the stop loss of 1290 for the target of 1430.

CHART FORMATION:-
Stock is showing consolidation at higher level crossing of resistance level can show upside movement
It's trading above 50 & 200 DMA with positive bias.


INDICATORS:-
RSI is trading above the level of 50 and showing consolidation , Breaching of the resistance level can manage to test further high.
MACD and Signal line is manages to give break out above zero level line sustaining above it can sjow upside movement.