* FTSE 100 up 0.2 pct
* UK earnings season off to a strong start
* Mining sector makes technical 'death cross'
By Toni Vorobyova
LONDON, April 23 Britain's FTSE 100 edged higher
in early deals on Tuesday thanks to a crop of upbeat corporate
earnings, but gains were capped by new signs of economic
weakness in China and Germany.
The blue-chip index was up 9.90 points, or 0.2 percent, at
6,290.52 points by 0746 GMT, heading for what could be
its second day of gains in eight sessions, and with some
investors seeing value after recent weakness.
Chip designer ARM jumped 7.8 percent, while
conglomerate Associated British Foods added 1.2 percent,
after both posted forecast-beating results.
Although many UK blue chips do not report quarterly results,
all of those which have done so to-date have met or beaten
analyst expectations, compared to a rate of 50 percent for the
STOXX Europe 600 index, according to Thomson Reuters StarMine.
"There were some good reports today from ARM Holdings, which
can be seen as a bit of bellwether for the tech sector," said
Jonathan Roy, sales trader at London Stone Securities.
"People had been quite cautious (on earnings) and there have
been some quite nice surprises to the upside."
Technical analysts at Redmayne-Bentley highlighted 6,423
points - some 2 percent away - as the next key resistance level
for the FTSE 100, while support is seen at 6,214 points, the
bottom of the range of the past three months, hit on April 5.
However, the charts outlook for the FTSE 350 mining index
looked negative, with the 50-day moving average
crossing below the 200-day line this week in a pattern known as
the 'death cross'.
The pattern, which usually signals further losses on a six-
month horizon, had also formed on the industrial metals sector
earlier this month.
The two sectors - the worst-performing so far this year -
have been hit from a fundamental level by falling metals prices
and concerns about the strength of future demand from top
Such worries were further fanned on Tuesday, after data
showed activity in China's vast factory sector slowing back to
near-stagnation in April.
"We've had some pretty poor data from China again, and we've
seen copper down 1 percent. They (the miners) are struggling to
get their flooring down here. If we do continue to see bad data
from China they are probably going to fall further," said Roy at
London Stone Securities.
(Editing by Stephen Nisbet)