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FTSE steadies as Vodafone gains

FXStreet (Mumbai) - The London’s Ftse index steadied on Wednesday as rise in the shares of Vodafone offset the decline in shares of luxury goods group Burberry.

Vodafone gains on Merger speculation

Shares in Vodafone advanced almost 4% on Wednesday after the chairman of Liberty Global John Malone, said the two companies would make a "great fit". His comments lit a fire to the long standing merger speculation. Vodafone shares had suffered more than 3% loss in the previous session.

Meanwhile, shares in Burberry fell 5.5% after the luxury goods firm cut its 2016 profit guidance. Marks & Spencer gained 1.4% after the company reported a rise in annual profit for the first time in four years.

The Ftse index recovered from the low of 6958.30 to trade at 7002.50 levels. The blue-chip hit a record high of 7,122.74 points in April.

FTSE Technical Levels

The immediate resistance is seen at 7015.49 (May 18 high), above which gains could be extended to 7065.08 (Mar. 23 high). On the flip side, a break below the daily low of 6958.30 could drive the index lower to 6900.00 levels.

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