FTSE regains ground to break through key resistance
The FTSE bounced off the 50-day SMA yesterday and has been moving higher ever since. The price has since moved back above the 6300 mark and used that level as support for another move higher, briefly passing through the key 6317 resistance level.
The ability to turn lower below 6300 and 6317 was key to my bearish outlook, and I remain bearish unless the price closes above 6317. Until that happens, I see is a good chance we could see a retracement lower given that the price has now hit the top of the Bollinger band while the stochastic and MACD histogram appear to be in the process of turning around.
Thus I would expect further downside unless it closes above 6317, with 6300, 6287 and 6253 likely support levels to watch in the near term.