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FTSE 100 eyes 6122
Crucial to today’s trading will be the area around 6070, which has been fought over more times this week than most care to remember. The singular feature of the past five days has been that, while big swings are the order of the day, the overall impact seems to have been merely to push the index’s rangebound trading to a slightly lower level.
Buyers, it appears, are still prepared to step in when dips appear, but the sellers are putting up furious resistance, halting rallies soon after they appear.
If we can hold above 6070 then the target becomes 6122, and then on to 6183, which might then indicate that the buyers have established a temporary ascendancy. Below 6070 and we look towards 6009, 5962 and then 5898. It is possible that dip buyers will come in should we head lower, as the lows for August still remain intact.