FTSE is rising despite weak macro data. After a sharp decrease yesterday, as the UK government borrowed more than expected last month due to surging inflation, the FTSE is heading higher, lifted by an optimistic close on Wall Street. Today UK retail sales fell by -0.5% MoM in May as households start cutting off their spending due to the fear of economic recession.
FTSE retreated from resistance to hover just above the key psychological level of 7000. The FTSE is rebounding within the range of support at 6970 and the resistance of the daily close of the bearish engulfing candle at 7140. The RSI suggests that there’s further upside to come.
Key levels to watch from the upside 7198, 7241 – from the downside 6970