The FTSE 100 extended its winning streak to a sixth consecutive session on Tuesday, as broader markets cheered a less-disruptive-than-feared global setup following the announcement of wider U.S. sanctions on Iran. The benchmark index added 0.08% from its previous close to trade around 10,863.24, bringing its 12-month gain to more than 16%. Market breadth favoured the advance, with only 38 scrips in the 100-share index finishing the session in the red.

Aerospace and travel names provided strong early support. Melrose Industries jumped nearly 10% after the GKN Aerospace owner announced a September 28 target to resume full production at its Garden Grove facility alongside a $100 million settlement framework for a May incident involving an overheating chemical tank. Rolls-Royce Holdings, Polar Capital Technology Trust, and International Consolidated Airlines Group all followed with robust gains exceeding 2.5%. Further support came from the housing sector, with the homebuilders index rising 1.9% after the UK set out plans to spend £10 billion on lower-cost rental housing, featuring £350 million in initial funding for midcap leader Vistry to deliver over 3,000 homes.

RELX led the downside pressure with a fall of over 3%, while consumer heavyweight Diageo declined close to 2%. Energy majors BP and Shell also dipped as crude oil prices fell more than 3%, with traders shrugging off the expanded U.S. sanctions campaign against Iran and treating the economic measures as posing less immediate risk to global oil supplies than direct military escalation. Iran, meanwhile, pledged to fight back against the expanded economic restrictions.

Precious metal miners Fresnillo and Endeavour Mining slipped about 1% as gold prices pulled back from recent highs. Investor attention increasingly shifted toward upcoming U.S. CPI inflation data, Federal Reserve Chair Kevin Warsh’s scheduled address at the Jackson Hole summit, and chipmaker Nvidia’s quarterly earnings report on Wednesday, widely considered a key barometer for the artificial intelligence trade. Aligning with global bond strength, UK 10-year Gilt yields eased 0.89% to 5.0140%, after ranging between 5.0096% and 5.0834% during the session.

Finish Line: The FTSE 100 stretched its winning streak to six sessions as aerospace strength and housing stimulus offset weakness in oil, gold miners, and selective mega-caps. While energy markets shrugged off fresh U.S. sanctions on Iran, lower crude prices and easing UK gilt yields provided a steady backdrop. With major tech earnings, U.S. inflation figures, and central bank commentary approaching, the FTSE demonstrated solid resilience to hold onto its multi-day gains.

TECHNICAL & TRADE VIEW – FTSE100

Daily VWAP Bearish

Weekly VWAP Bearish

Above 10700 Target 11150

Below 10400 Target 9500

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Written by Patrick Munnelly

Patrick has been involved in the financial markets for well over a decade as a self-educated professional trader and money manager. Flitting between the roles of market commentator, analyst and mentor, Patrick has improved the technical skills and psychological stance of literally hundreds of traders – coaching them to become savvy market operators!