The FTSE 100 index has broken the back of the recent weakness and is close to testing its 200-day moving average again which currently sits around the 5,650 area. Considering the Dow Jones has broken back above its 200-day moving average there’s a chance that the FTSE might be soon to follow. Capital Spreads quotes 5,569.0-5,570.0 for the UK 100 Rolling Daily.
Third quarter numbers from the retail giant Tesco will be released on Thursday and the impact of the recent supermarket price war will be closely scrutinised. Given the spat is being seen as helping drag inflation down a shade, it’s certainly no bad thing for the wider economy, but the share price has spent the bulk of the year struggling to push above the 400p mark. Many analysts remain bullish and clearly the company will be looking for a bumper Christmas, so any guidance here will be closely watched, but the company’s ever expanding overseas operation – combined with a weak pound – will continue to add focus to the international arm. Current IG Index price is 406.9p-407.8p.
Two weeks ago we called Amazon worthy of a buy when pulling back to long term support lines around $186. Seems the Black Friday shoppers weren’t the only ones picking up bargains as Amazon came within 60c of hitting our target of $200 on Friday. The trendline this week comes in around $190 and any dips should be used as buying opportunities for a push through $200. Spread Co offers a spread on Amazon of $197.45-$197.85