30th Sep 2020. 9.26am
UK Sector Snapshot
As the FTSE continues to flirt with the key support zone between 5,847 and 5,764, it’s clear that certain sectors have been more willing to participate in the bounce back than others…
We’re seeing some strength start to emerge in the Utilities with National Grid (NG.) in particular finding some bullish momentum. This sector has been a consistent underperformer this year, so we’ll need to see other stocks in the sector join the rally before we get too carried away.
Housebuilding & Construction has also participated in the FTSE’s bounce back, but this is a sector that was hit hard during the recent sell-off and many of the technical structures remain bearish – Ferguson (FERG) being the notable exception.
Oil & Gas remains woefully weak as BP (BP.) approaches its March spike lows at 223p – a key technical to watch for if you’re following this sector.
Telecoms have also failed to participate in the FTSE’s recent bounce, with BT (BT.A) and Vodafone (VOD) continuing to consolidate near recent lows.
This research is prepared for general information only and should not be construed as any form of investment advice.