UK Stock Market Technical Analysis and Stock Picks

UK stocks advanced on Thursday, although the FTSE 100 was marginally lower as China's central bank devalued its currency for a third day and as Greece's economy expanded in the second quarter.

The People's Bank of China devalued the yuan for the third consecutive day on Thursday. The Bank set the parity rate at 6.4010 yuan for $1, down 1.11% from the previous day's 6.3306, in an effort to boost exports to feed the slowing economy.

The FTSE 100 ended the day in red by 2.86 points at 6568.33. If during the day market cross the resistance level of 6630 on upside after consolidation, then it can test the level of 6700 and the immediate support level is 6500.

Stock Pick of the Day

JOHNSON MATTHEY PLC GROUP

RECOMMENDATION SELL

TARGET 2840

The Major trend of JOHNSON MATTHEY PLC it is showing strength for selling .If it breaks the support level then one can initiate the selling position in the stock. If it breaks the level of 2840 then it can test support level for the target of 2805 with the stop loss of 2875.

CHART FORMATION:-

Stock is trading in a range and trading near the trendline. Breaking the support line will lead to downside movement. Stock is trading below the 50 DMA with negative bias.

INDICATORS:-

RSI is trading near to 44.82 level with negative bias, in upcoming session downside movement is expected.

MACD and Signal line is sustaining below the zero level line.

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London Stock Exchange Overview as on Friday, February 06 2015

London Stock Exchange Overview

UK stocks ended with minor gains after mixed Eurozone news. On Thursday session data from UK showed a better-than-expected jump in German factory orders, a contraction in Eurozone like-for-like retail sales, an easing in the growth rate of UK new car registrations. The FTSE 100 finished the day up with minor gains up 0.1% at 6866, earlier in the day prices has bounced strongly after hitting an intraday low of 6808.19.

If during the day market is breaching the resistance level of 6890 on upside after consolidation, then it can test the level of 6960 with the support of 6840.

TOP GAINER

Name	Close Price	Change %
Rexam	538	20.2
BT Group	442	4.49
Smith & Nephew	1198	2.57
BG Group	954.8	2.45
Rolls- Royce Hldgs	918	2.06

TOP LOSER

Name	Close Price	Change %
Astrazeneca	4529	3.39
Vodafone Group	230.9	2.37
Man Group	175.5	2.34
BAE Systems	516.5	2.09
ITV	226	1.99

UK Stock Market Overview as on Monday, February 02 2015

London Stock Exchange

UK stocks falls on Friday after Eurozone consumer prices fell more than forecasts and the rate of US economic growth slowed sharply. The Eurozone fell further into deflation in January with consumer prices falling at an annual rate of 0.6% after a 0.2% fall the month before, worse than the 0.5% drop expected. The FTSE 100 close at 6749, down 0.9% on the day and close lowest since 21^st January.

The Index has shown weakness and close near two week low and during the day if market is breaching the support level of 6720 on downside after consolidation, then it can test the level of 6640 with the resistance of 6800.

TOP GAINER

Name	Close Price	Change %
BHP Billiton	1443	2.09
Smiths Group	1127	1.53
Anglo American	1113	1.41
Rio Tinto	2925	1.35
DLY Mail& Gen TST A	860.47	1.23

TOP LOSER

Name	Close Price	Change %
Sainsbury	255.40	3.18
Rexam	425	3.03
Morrison Supermkts	179.90	2.70
BT Group	417.90	2.61
Diageo	1970	2.60

Investec Plc

Technical Chart

RECOMMENDATION SELL

TARGET 544

The Major trend of Investec Plc is Consolidating in higher levels and it is showing weakness on charts and we can see downside movement in it. Stock is trading near its support of 556. One can initiate the short position in the stock if it breaks the level of 556 it can show downside movement for the target of 544 with the stop loss of 566.

CHART FORMATION:-

Stock is consolidating on higher level and showing weakness for downside movement in it for correction. Crossing the support will lead to downside movement. Stock is trading below the 50 DMA with negative bias.

INDICATORS:-

RSI is trading near to 43 level with negative bias , in upcoming session downside movement is expected.

MACD and Signal line is sustaining below the zero level line.

FTSE Overview as on Friday, January 30 2015 and future Predictions

UK stocks closes negative after market digested global economic data and political developments in Greece. FOMC also said on Wednesday evening that they would remain “patient” about the timing of the first interest rate hike. The FTSE 100 close at 6811, down 0.2% on the day with energy sector providing a drag after oil major Royal Dutch shell published quarterly result below expectations. There is strong resistance at 6870 level and during the day if market is breaching the level of 6870 on upside, then it can test the level of 6960 with the support of 6800.

TOP GAINER

Name	Close Price	Change %
Diageo	2022.50	3.08
Marks & Spencer	487.80	2.14
Imperial Tobacco	3160	2.03
Unilever	2952	1.90
Reckitt Benck Grp	5720	1.78

TOP LOSER

Name	Close Price	Change %
Enterprise Inns	104.70	3.59
Antofagasta	655	2.75
Johnson Matthey Plc	3297	2.60
Carnival	3000	2.22
BG Group	880.90	1.88

UK MARKET OVERVIEW : Wednesday, August 13 2014

 
UK market overview

UK stocks had practically clawed back all of their losses come the end of 

trading on Tuesday as investors continued to watch geopolitical 

developments across the globe.

The FTSE 100 was down just 0.01% at 6,632 by the close, having touched a 

low of 6,617.31 early on. 

Index has trading in narrow range of 6600 to 6650 for upcoming session 

if it is managing to give closing above 6600 level crossing of 6650 level 

it can test the level  of 6700,RSI has trading above the level of 50 and 

looking strong for buying. 

Index has managing to trade above 50 DMA and facing resistance from 

200 DMA crossing of it can show further upside movement.

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Market Overview, Monday, August 11 2014

FTSE 100

• UK stocks had pared earlier losses by the close of trading although risk-averse traders remained on the sidelines in light of the heightened geopolitical tensions across the globe.

 

• The FTSE 100, which closed Thursday at a four-month low of 6,597.37, 
  

  traded down by another 0.45% to 6,567.36 at the end of trading, after 

  bouncing back from an intra day low of 6,528.73.

  Through out the week index has showed selling pressure and closed 

  the week with the loss of 130 points.

  For upcoming session 6500 level will be act as good psychological 

  support if it manages to sustain above that short term recovery 

  is expected, breaching of it can show further downside movement.