FTSE Feb to Mch Rollover 16th Feb 2018
The FTSE has been a real mess this expiry, however having said that it really was a case of just extreme bad timing.
The start of the expiry was perfect as it hit R1 at 7750 (high 7745.22 23rd Jan) which made the corresponding R1 ratio at 7500 the target with perhaps a pit stop in the zone.
Unfortunately for London this was the level they hit at the very start of February, just when the US went into freefall, and since then this index has been trying to extract itself from the mire.
The issues recently have been getting out of the R3 ratio bandwidth, which may well be a case in point today at 7300.
Range: 6950 to 7300
Type: On balance only just bullish
Regarding the March expiry 7300 is not so much of an issue.
However, the market is still in or around R2 at 7250, so today’s close is critical.
Worth noting however is the proximity of R3 and DR at 7200 and 7150 respectively, so if it can avoid any banana-skins from the US London is rather well underpinned this expiry.
Also, worth taking on board is the fact that the zone is lower here.
Range: 7200 to 7250 or 7250 to 7450