The FTSE All Share Index (ASX) closed a turbulent session with a slight loss, but the real story for traders was a powerful late-day rally that demonstrated significant market resilience and pared earlier declines. This robust finish has set a cautiously optimistic tone for the upcoming trading day.
Today’s Market Performance
As of the close at 19:07 GMT+5:30, the FTSE All Share Index settled at 4,795.91 GBP. This marks a decrease of 8.27 points, or -0.17%, from the previous close of 4,804.18. While technically a down day, the final figure belies the intense intraday volatility and the strength shown in the final hours of trading.
Intraday Trading Analysis
The 1-day ASX chart highlights a classic battle between buyers and sellers. The index faced considerable selling pressure through the middle of the session, hitting its lowest points between 14:00 and 15:00. However, beginning around 17:00, a decisive wave of buying entered the market, initiating a steep and sustained rally that continued right into the close. This impressive recovery allowed the index to climb back above the 4,795 level, ending the day near its session high and signaling strong underlying demand at lower prices.
Key Technical Levels and Outlook
The day’s price action has sharpened the focus on key levels for skilled traders:
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Crucial Resistance: The previous close of 4,804.18 is now the most immediate and critical resistance level. A definitive break above this mark in the next session would be a strong bullish confirmation.
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Established Support: The intraday low established during the mid-session dip will now act as the primary support zone. A hold above this level would reinforce the current bullish sentiment.
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Momentum Signal: The powerful rally into the close is a significant momentum indicator. The key question for traders is whether this buying pressure will persist and fuel a gap-up or continued push at the next market open.
Broader Market Context
Despite the minor daily setback, the bigger picture for the FTSE All Share Index remains constructive and points towards a solid underlying trend:
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Short-Term: The index is slightly positive over the last 5 days (+0.06%) and 1 month (+0.63%).
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Medium-Term: Performance over the last 6 months shows a healthy gain of +6.36%.
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Long-Term: The Year-to-date (+7.35%) and 1-year (+7.46%) returns confirm a consistent upward trajectory, with a very strong 5-year return of +40.55%.
This data illustrates that short-term fluctuations are occurring within a well-established long-term uptrend.
In conclusion, the FTSE All Share Index’s headline figure of a -0.17% loss does not fully capture the day’s positive developments. The market’s ability to absorb selling pressure and stage a formidable recovery into the close is a sign of underlying strength. Traders will now be watching closely to see if the bulls can seize this momentum and push the index past key resistance in the sessions to come.
