{"id":175981,"date":"2023-04-15T07:00:00","date_gmt":"2023-04-15T14:00:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=175981"},"modified":"2023-04-15T02:51:25","modified_gmt":"2023-04-15T09:51:25","slug":"ftse-100-big-bull-micro-channel","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/analysis\/ftse-100-big-bull-micro-channel\/","title":{"rendered":"FTSE 100 Big Bull Micro Channel Testing BO Point from TTR"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: FTSE 100 Futures<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The\u00a0<strong>FTSE futures <\/strong>market has been in a big bull micro channel since it hit the 100-week MA. We now have 2 open micro-gaps between the weeks, creating a layer of support at the prior top of the trading range. This supports the bull case for going higher. The bears know we have been in a trading range for a long time &#8211; and the sell climax was disappointing for the bulls. It will provide a reasonable place to sell above the highs.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">FTSE 100 Futures<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Weekly<\/em> FTSE chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR.jpg\" alt=\"FTSE 100 Big Bull Micro Channel Testing BO Point from TTR\" class=\"wp-image-176069\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">FTSE 100 Big Bull Micro Channel Testing BO Point from TTR<\/figcaption><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.investing.com\/indices\/uk-100-futures\" target=\"_blank\" rel=\"noreferrer noopener\">FTSE 100 futures<\/a> was a bull bar closing near its high.<\/li>\n\n\n\n<li>It is the fourth consecutive bull bar, so we are always in long, and it is a buy-the-close.<\/li>\n\n\n\n<li>It is a 4-bar bull micro channel, so traders will expect buyers below the low of a prior bar, and a second leg is likely.<\/li>\n\n\n\n<li>There are 2 open gaps above the moving average, which will act as support on the way back down.<\/li>\n\n\n\n<li>The last open gap is sitting above the prior high, as bulls are trying to keep the trend alive and not in a trading range.<\/li>\n\n\n\n<li>The bears saw a wedge top and expected 2 legs sideways to down &#8211; the doji on March 13<sup>th<\/sup> might have been the second leg.<\/li>\n\n\n\n<li>This often traps traders &#8211; bears scaling into a losing trade and bulls buying higher than they would like.<\/li>\n\n\n\n<li>The bears see a trading range and selling high in trading, especially a second-entry short is a high probability trade.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.brookstradingcourse.com\/analysis\/ftse-breakout-to-sell-climax-high\/\" target=\"_blank\" rel=\"noreferrer noopener\">Last week we said that we were back<\/a> at the bull trap &#8211; where the bears got a follow-through climax bar making bulls buy lower.<\/li>\n\n\n\n<li>For the bulls, it is a trend resumption, a 50% pullback, and they want a higher high. Even though the micro channel is strong, they have the reversal zone above the wedge top.<\/li>\n\n\n\n<li>The wedge top tested the bottom of the spike and channel &#8211; which is disappointing for the bulls. The top of a bear spike is a reasonable sell zone for limit bears.<\/li>\n\n\n\n<li>The bears want an expanding triangle &#8211; a trading range with expanding volatility. They know we broke the swing low &#8211; although we did not close below it.<\/li>\n\n\n\n<li>Looking back at October 2022 &#8211; when we broke the swing low &#8211; when we returned back to the highs, we formed a double top &#8211; so I think we might do the same here.<\/li>\n\n\n\n<li>There were 8 weeks of tight trading range (TTR) price action at 8000 Big Round Number, so expect some sideways price action then. But in a bull micro channel, it might go further than traders expect.<\/li>\n\n\n\n<li>It is better to be long or flat. Bulls can get out a scalp below any bar, though expect sideways to up next week.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Daily<\/em> FTSE chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel.jpg\" alt=\"FTSE 100 Inside Bar Bull Breakout in Microchannel\" class=\"wp-image-176081\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Inside-Bar-Bull-Breakout-in-Microchannel-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">FTSE 100 Inside Bar Bull Breakout in Micro Channel<\/figcaption><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.investing.com\/indices\/uk-100-futures\" target=\"_blank\" rel=\"noreferrer noopener\">FTSE 100 futures<\/a> was a bull bar closing below its midpoint on Friday. Some computers will see it as a bear bar.<\/li>\n\n\n\n<li>It is a 13-bar bull micro channel which is unusual and hence climactic. It is a low-probability event, and some bears will be trapped below.<\/li>\n\n\n\n<li>The bears wanted a double top bear flag, but the bulls got a breakout above the MA. We are at the measured move from the lower low.<\/li>\n\n\n\n<li>The bulls closed the gap from March 9<sup>th<\/sup> when the bears broke below a double bottom and got a parabolic wedge bottom.<\/li>\n\n\n\n<li>The bulls want to break above the BO point,  a failed test and continuation above &#8211; it is certainly strong enough to do so.<\/li>\n\n\n\n<li>But it was disappointing for the bulls. Such a deep spike will encourage bears to short up here and above, scaling in betting on a trading range.<\/li>\n\n\n\n<li>Thursday was an inside bar &#8211; technically a sell above &#8211; so Mon or Tuesday might test back down. Bulls should NOT buy below that inside bar &#8211; they have a high failure rate in a micro channel this long.<\/li>\n\n\n\n<li>The bears see a successful test of the BO point and a lower high and want to get a second leg sideways to down &#8211; but where are the bear bars?<\/li>\n\n\n\n<li>April is typically a bullish month for stocks, so it might need to go higher for a few weeks, maybe a new high, to at least 8000 Big Round Number until the bears are willing to sell.<\/li>\n\n\n\n<li>When the bull channel is tight like this. and the pullbacks are non-existent &#8211; it will constantly look like wedge tops are forming &#8211; you should ignore them and instead look to get long.<\/li>\n\n\n\n<li>The bears need a bear bar with follow-through &#8211; though it&#8217;s likely only a scalp for now.<\/li>\n\n\n\n<li>Bulls might switch to buying below bars or buying pullbacks &#8211; perhaps to the midpoint of the last leg to scale in.<\/li>\n\n\n\n<li>Better to be long or flat.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Market analysis reports archive<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">You can access all weekend reports on the <a rel=\"noreferrer noopener\" class=\"rank-math-link\" href=\"https:\/\/www.brookstradingcourse.com\/blog\/analysis\/\" target=\"_blank\">Market Analysis<\/a> page.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n","protected":false},"excerpt":{"rendered":"<p>Market Overview: FTSE 100 Futures The\u00a0FTSE futures market has been in a big bull micro channel since it hit the 100-week MA. We now have 2 open micro-gaps between the weeks, creating a layer of support at the prior top of the trading range. This supports the bull case for going higher. The bears know [&hellip;]<\/p>\n","protected":false},"author":10339,"featured_media":176069,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"shadow","_genesis_layout":"","footnotes":""},"categories":[1697,136],"tags":[333,1699,347,291],"class_list":["post-175981","post","type-post","status-publish","format-standard","has-post-thumbnail","category-ftse-100","category-analysis","tag-breakout","tag-ftse-100","tag-micro-channel","tag-tight-trading-range","entry","override","shadow"],"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/04\/FTSE-100-Bull-Microchannel-Testing-BO-Point-from-TTR.jpg","author_info":{"display_name":"Timothy","author_link":"https:\/\/www.brookstradingcourse.com\/es\/author\/timfairweathercagmail-com\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/175981","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/users\/10339"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/comments?post=175981"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/175981\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media\/176069"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media?parent=175981"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/categories?post=175981"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/tags?post=175981"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}