Lizz Truss is the 56th British prime minister. She beat rival Rishi Sunak, the former chancellor, pledging to tackle the UK's energy crisis. A £100 billion package is being considered to freeze rising energy bills. She has also pledged to cut taxes.
In response, the UK100 shows bullishness on its hourly chart. Moreover, its trend following EMAs and stochastic have crossed positively. If the stochastic trades above 80 and holds (blue arrow), an underlying bullish momentum will be present on the H1 chart.
However, the longer-term trend is down. As such, the R1 pivot, which overlaps price resistance (red-shaded horizontal), may prove to be an area target by shorts.
Senior Market Specialist
Russell Shor joined FXCM in October 2017 as a Senior Market Specialist. He is a certified FMVA® and has an Honours Degree in Economics from the University of South Africa. Russell is a full member of the Society of Technical Analysts in the United Kingdom. With over 20 years of financial markets experience, his analysis is of a high standard and quality.