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The index has got off to a strong start this morning, as it moves towards the crucial 6130 mark. The existence of a symmetrical triangle formation highlights the indecision after Friday’s lows and as such, we await the breakout from this tightening range to provide us with direction.
A closed hourly candle above 6130 would provide a more bullish outlook, with a close below 5955 looking likely to spark another leg lower for the index. Given the current proximity to the 6130 mark, it makes more sense to be short given the weakness coming into this pattern.