FTSE250 Update - can it hold 13000?

Well, that was quite a day! The FTSE250 closed down around 275 points, one of the biggest day falls for some time. Little was spared, although a few mining stocks which have been out of favour for quite a while (see here) did manage to stay in the blue.

The chart below is the weekly for the 250 and it is suggesting that the current trend is at the very least having a rest, there are negative signs although it could still stay in an upward direction provided it doesn't fall much below 13000. Moving averages are still positive and we have support points below, the major one being around 12200. MACD however does look like it is about to go down, but it is still some way off zero, the crossover of which is usually the bearish signal. Bears would be jumping the gun by going short now on the basis if this chart. It's important to remember that the FTSE250 can move a long way very quickly, although bulls should start being worried if we have one or two more days like today close together. A lot to play for next week I think.

FTSE250 -Weekly