The Black Monday- UK’s FTSE 100 Tumbled Highest Since January 2016.

London’s benchmark equity index- the FTSE 100 plunged 247.09 points or 3.34% to 7,156.83 on Monday, 24 February, 2020 trading session. The massive one-day slump in the broader index was the highest since January 20, 2016. The downslide in the UK market and across the global markets have been triggered post a jump in coronavirus cases outside China's mainland that has fuelled anxiety and fear among the market participants.

The unprecedented surge in new cases in Iran, Italy and South Korea ratcheted concerns over a bigger hit to the global economy than previously feared.

The U.S benchmark indices, the S&P 500 slid down 111.85 points or 3.35% to 3,225.90, the Dow 30 plummeted 1031.6 points or 3.56% to 27,960.80, and the global technology gauge Nasdaq Composite Index gave up 355.31 points or 3.71% to 9,221.28.

However, FTSE MIB- the benchmark equity gauge of Italy fell 1,345.96 points or 5.43% to 23,427.19, after the country reported fourth death from the spread of coronavirus and surge in infections. The spread of the contentious virus has now extended to 29 countries apart from China. Also, recently four passengers out of 32 British and Irish Diamond Princess cruise ship passengers were drifted out from a cruise ship after they tested positive for the virus.

Globally, travel and tourism stocks have been among the worst hit as measures to prevent the spread of the life-threatening virus would be led by travel restrictions to and from China.

So far, the deadly virus which originated in China has killed more than 2,200 people across the world, and media houses came out with attention-grabbing headlines again this week which further ratcheted volatility in the global equity markets.

As FTSE 100 tanked 3.34%, its tour and travel constituent stocks plunged the highest. Stocks of Easyjet PLC (LON:EZJ)Â tanked 16.7% to GBX 1,257.0, Tui AG (LON:TUI)- the major tour and leisure business of the UK plunged 9.8% to GBX 1,257.0, and International Consolidated Airlines Group SA plunged 9.15% to GBX 566.0, respectively.

On the Monday mayhem, 97 out of FTSE 100 stocks traded in the red zone, with media group Pearson PLC, support services provider Bunzl Plc and Polymetal International PLC being the only FTSE 100 constituents, which ended in positive territory. However, every FTSE 100 constituent sector traded in the red zone

Also, travel and leisure company EZJ was the biggest laggard on Monday’s trading session for the broader index of the UK- FTSE 100.

Here, we are sharing a list of FTSE 100 stocks, which tumbled more than 5% on Black Monday (February 24, 2020).

*Source: Thomson Reuters.

In addition to these laggards, Ashtead Group PLC, Standard Life Aberdeen PLC, Scottish Mortgage Investment Trust PLC, Mondi PLC, Just Eat Takeaway.com NV, Prudential PLC, WPP PLC, Smiths Group PLC, Next PLC, Hikma Pharmaceuticals PLC, DCC PLC, Legal & General Group PLC and Lloyds Banking Group PLC also lost their market-capitalisation by more than 4%.

After a massive one-day plunge, technical trend turned a bit sour in the FTSE 100 index, as at Monday’s closing, the index traded steeply below its crucial short-term and long-term support levels of 5-day, 10-day, 20-day, 30-day, 50-day, 100-day and 200-day simple moving averages. The 200-day moving average which is typically considered as a long-term support level for an underlying and also regarded as crucial resistance level as well. Also, a price below this long-term support level indicates a bearish trend in an underlying. At the closing level of 7,156.83, the FTSE 100 traded approximately 3.6% below its 200-day SMA of 7,430.47, an unfavourable trend.

Also, after sharp one-day plunge it witnessed on Monday, the YoY return of the index stood at negative 0.30%, in a month-over period it has slumped approximately 4.67% and gave up more than 3.7% in the past five trading sessions.

Also, the Moving Average Convergence Divergence (MACD) plunged lower, with the difference between the 12-day exponential moving average and the 26-day exponential moving average being negative, which is another negative trend in an underlying security.

The 14-day and 9-day Relative Strength Index of FTSE 100 are trending towards the oversold territory, which is again an unfavourable trend in an underlying.

However, the FTSE 100 index traded steeply below the lower Bollinger Band©, which is at 2 standard deviations lower than its average and it is typically considered that a pullback could take place from such a price level.

The benchmark mid-cap index of the UK- the FTSE 250 also tracked the broader index and snapped 662.33 points or 3.04% to 21,117.87.  It traded lower against its crucial short-term as well as long-term support levels of 5-day, 10-day, 20-day, 30-day, 50-day, 100-day and 200-day SMAs, which is a bearish trend. Also, Index price/ 200-day SMA ratio stood at 0.98x, which reflects that at Monday’s closing price, the index traded approximately 2% below its 200-day SMA. The mid-cap index slumped approximately 2% in the month-over period and gave up more 3.0% in the last five trading sessions.