Market Video Overview: FTSE 100 Futures
Tim Fairweather’s weekly report on the FTSE 100 futures market.
FTSE 100 report transcript
Hi everyone. And welcome back to another weekly market report. My name’s Tim Fairweather. And today we’re going to do the FTSE 100 futures index. So let’s go and take a look now, just before we go into the weekly chart, let’s just take a look at where we are on the monthly as well. Now you see we’ve got a bull channel.
We’re above both the 20 and the 200 moving average. We’ve had at least three pushes up and we’ve got a couple of very strong sets of bull bars here. We got a new high and we triggered a buy above that outside bar. There were buyers below and we’ve got a gap to the moving average. And last month was a bear inside bar.
And that’s really important when we zoom down a time frame now. So now we’re looking at the FTSE 100 weekly chart and you can see that was the monthly high one. I’ve got HH1. Which is my reference to it’s the highest high one possible in this bull trend. And we’ve triggered that and gone below. Now we know last week, sorry, we know last month was an inside bar.
And now we’ve got last week was an inside bar as well. Now it is a bull bar, but it’s got a small body, big tail below. And that means there’s two sided trading. And that means if you wanted to buy one tick above that bull bar, you did not get filled. So your order was filled. Gets wiped. So what do you do now?
Well, if you’re a ball, you’re looking for a buy signal. Maybe you got long here. You’re a bit disappointed by this bear bar and you’ve had a chance maybe to get outbreak even other bulls are waiting for the second reasonable buy signal using the concept of second entry. So we’ve had one leg down to two legged pullback, hoping that there’s going to be more to this spike, but they haven’t been triggered.
Now they’ve got an inside bar and that reduces the probability of a really big breakout. without a pullback to that high. So I think we’re still going to go sideways, probably above and back to this entry point. Um, ideally I’d like to buy below that inside bar above the moving average, but I’m not sure whether I’ll get filled down there.
I’m still looking to buy on the weekly. I bought, uh, my first weekly buy was down here. Second one was here. And then, uh, I don’t usually trade the weekly chart, but it was something I was trying to improve in my own trading. And then I basically bought the three lowest bull bars and it was tremendous trading on FTSE.
And then I was just looking for every second entry. So every second bull bar has been working all the way up. And then we got a new all time high and I didn’t quite get out all the way on that bar, but really good trades in there. So I’m looking for another trade on the and I haven’t seen one yet. Um, I nearly bought above this bull bar here.
But it’s an outside bar and there’s just too much sideways. And I prefer for it to break out and try and buy a pullback than buy, have to scale in and have the stress. So if you’re a bear, what do you see? Well, this was a big pullback. So you’re thinking there’s going to be another second leg like that.
You think, okay, maybe this is going to have three pushes up wedge bear flag. The problem is that everything’s sloping up. So you’re only going to sell above something and you’re only going to sell If you’re going to scale in. So some bears sold here that didn’t work out too well. Uh, so I would imagine they’re going to try and sell again here and get out break even, and that their break even might actually be the best spot.
So we’re going to see what happens there. So still always in long, uh, expecting sideways to up next week. Uh, I don’t think there’s a good stop entry trade here. Uh, limit order bulls. We’ll be looking to buy in this bar by the moving average by below. Uh, but I don’t think the probability is varied. So that’s the FTSE on the weekly.
So FTSE 100 on the daily chart. Well, we know we’ve got a monthly inside bar and a weekly inside bar. Surprise, surprise, when we zoom in, what are we going to find? A mess. We’ve got squeezing around the moving average. There are no stop entry trades here on this chart. So, Um, you know, you can zoom into a lower timeframe, but you’re doing that with the knowledge that we’re reversing constantly.
Now just for interest, I just drew a lot of the wedges. So you know, wedge top and a test, which bottom test, which top test we’re squeezing in a triangle here and traders are starting to wonder, is this going to have a second leg? Probably not because we went above it. So if you sold and sold higher. Are you really going to have another shot at that cell or are you going to wait for a lower low?
There are other bears that see this spike and want a second leg, but what’s the problem with these spikes? Every bear spike on here really struggled to get a good second leg, but every bull spike equal to or better second leg, okay? And that’s because we’re above both moving averages in a bull channel.
So every time there’s something bearish, it’s actually something bullish. So I’m not willing to use a stop order to sell below anything here. I really don’t want to buy above anything here with all those tails. Looks like a lot of, you know, intraday scalping. Is Friday a good signal bar? No, it’s not a good buy above.
It’s not a good sell below. It’s crossing the moving average. So in general, I would just say, don’t touch barbed wire, tight trading range, pick it in for an instrument, or just take a break. Next possible trades to set up. Well, we really need a breakout. So to me, this was the biggest thing on the chart.
Then this is the biggest thing on the chart and this hasn’t got a second leg and patterns like this form an endless pullback in a bull channel and traders wait for this, this second leg to kick, but then it ends up being a scout and then reverses and other traders will call this a variation of a cup and handle.
But at the moment, too many outside bars, too many inside bars. Breakout mode. So best to leave. Thanks very much for watching everyone. That was the FTSE 100 for last week and prediction for next week. So we’ve got a monthly inside bar, bear inside bar and breakout mode on the daily chart. So probably better to wait for a better stop entry trade to set up.
Of course, if you’re an intraday trader, the 60 minute and the five minute are going to have opportunities as usual. But that’s FTSE 100 for last week. My name is Tim Fairweather. Thanks very much for watching from the Brooks Trading Course.
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