The FTSE has closed at new all time highs following the break above resistance and what looks to be the completion of a bullish flag. The bulls remain firmly in control and set to
keep pushing the index higher. The preferred trade is to buy on dips.
U.K. blue-chip stocks inched up to another closing high on Monday, with medical-products supplier ConvaTec Group PLC and commodity shares helping to lead the way north, though a stronger pound kept gains in check. The FTSE 100 index rose less than 0.1% to end at 7,562.28, building on Friday’s record close.
The pound fetched $1.3138, up from $1.3075 late Friday in New York. Stronger sterling can weigh on the U.K. stock benchmark as its multinational companies generate most of
their sales in foreign currencies. The currency last week fell 0.4%, a third straight week of losses. Gains for metals prices buoyed mining shares, with iron ore futures climbing more than 2% overnight, according to BMO Capital Markets. Meanwhile, oil benchmarks were holding around their highest in more than two years, with Brent trading above $63 a barrel, as investors assessed the implications of weekend news that dozens of high-level Saudi Arabian figures had been detained as part of an anticorruption crackdown. Among those detained was Prince al-Waleed bin Talal, one of the world’s richest men.
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