FTSE rally falters at key resistance
Yesterday saw a sharp move lower from trendline resistance and simple moving average resistance, with the index continuing its descent once more. The sharp move lower means we remain within a clear downtrend. The establishment of a higher low pointed towards a potential recovery today, with an hourly close above 6775 required to enable that next move towards the 6810 area.
However, we have seen price fail at 6775 and with this current turn lower it looks as though there is a possibility we will see another move lower. This is dependent upon whether we see an hourly close below 6753 to put a more bearish slant on the short-term outlook.