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FTSE rallying back towards key resistance level
The FTSE 100 attempted to break below the key 7338 support level, with the index failing to post an hourly close below that level, only to rally back into 7359 resistance. The key here is whether we will get an hourly close above the 7359-7363 resistance zone. Should that occur, it would look like we are about to break higher.
Last week’s inability to form a bearish head and shoulders pattern (below 7253), suggests a distinct possibility that we will resolve from this range to the upside. However, the next move will be dictated by seeing an hourly close above 7363 or below 7338.