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FTSE rallies into key resistance
The index gained a welcome leg higher curtesy of Janet Yellen yesterday, with the index rallying into the crucial 6220 resistance overnight. This morning is seeing another challenge of this level and thus the reaction at 6220 will provide the state of play for the day.
A closed hourly candle above 6220 would provide expectations of a breakout rally, with 6324 the next major resistance level of note. Alternately, a failure to break 6220 could see us continue within the 6100-6220 range that has dominated trading over recent weeks. A break seems likely given the buoyant mood, yet price action always dictates the state of play.