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FTSE begins to get a lift as resistance is broken
A support zone around 6430-6450 held strong yesterday and has led to a more bullish tone taking hold with the move above the intraday swing high of 6518. The move higher is likely to the index move back towards the week’s high of 6568. This level represents the 50% retracement, coupled with the resistance set by Monday’s highs and Friday’s lows. While I do believe there is a good chance we could see the price move back towards 6568, it is unlikely that this will happen in a straight line, and thus the likely near-term pullback would be looking towards the 6518 level as possible support.