- Discover BOE decision and American commercial news to focus for flat FTSE, the main support and resistance level with possible market effects.
By opening trading on Thursday, British stocks rose, with the support of optimistic investors before an important decision of the Bank of England and the announcement of a trade agreement between the United States and the United Kingdom.
Earlier, the FTSE index increased by 0.25 %, while the British pound fell by more than 1 % against the dollar to reach 1.32.
For the German index, DAX rose 0.4 %, with French, Cac40, increased by 0.6 %.
Boy Critical Decision: How will FTSE100 will affect?
The interest rate decision in the Bank of England is the most important event for markets today. The markets expect a rate of 0.25 % in the midst of tariff tensions.
Any change in interest can increase fluctuations throughout the market. This will affect the value of the British pound, as cutting the prices will weaken the pound, which will affect FTSE positively because this will be useful for companies that rely heavily on exports, as their goods become cheaper for international buyers.
Also, decreased rates generally reduce borrowing costs for companies and enhance investment and expansion, making stocks more attractive.
Technical levels of FTSE100:
According to the direct scheme, the indicator is still circulating. The FTSE is traded under strong resistance at 8675.2, it is highly recommended by the declining scenario. Once the index collapse the support level at 8465.4, this door will open to reach lower levels such as 8372.1 and 8325.5.
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On the other hand, any strong news affects the index positively and provides support to break the strong resistance at 8675.2, and the rise and access to a new resistance to Bollenger is likely to rise 8783.1
FTSE100 is awaiting the commercial deal of the United States of America with Trump’s main advertising hint:
US President Donald Trump said a major trade agreement will be announced on Thursday, and some reports are reported that the UK is likely to be a partner. (FTSE 100 Index Up as Trade Traiff)
This agreement can be an important step towards closer economic relations, which will lead investors to keep their eyes on what will happen to predict how the markets react to them.
