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FTSE eyes 6800
Three days of gains have turned the index resolutely bullish, with buyers hoping for a fourth day too. If we can sustain gains above 6700 then the target now becomes the 200-day SMA at 6765, and then on to the 6800 high from the middle of the month.
Daily stochastics appear to have bottomed out, leading to further buying pressure and upward momentum. We would need to see the index move back below 6600 to reverse the outlook.