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FTSE rally unlikely to last
The FTSE 100 is finally seeing some respite from the incessant selling of late, with the index rallying in response to Asian gains. However, this looks more like a retracement than a bottom and thus we would need to see an hourly close back above 5991 to negate the downtrend in the short-term.
Of particular interest is the 76.4% retracement as a point of resistance. Thus be on the lookout for a potential reversal back onto the downtrend, with key support levels at 5906 and 5844. However, should we see an hourly close above 5991, we could see the index gain further ground, with 6006 and 6042 the next resistance levels.