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FTSE continues to consolidate after rally
The index has been trading largely sideways since breaking through the major 6237 resistance on Tuesday. Given that rally and the fact that we are only seeing a sideways range rather than any selling pressure, it seems likely we will break higher once more upon exiting this formation.
As such, it makes sense to either be long around the bottom of this pattern (6249 for example), or else await the breakout for above 6281 resistance. Above 6281, key resistance levels are around 6324 and 6337. Conversely, should we see a break below 6237, this could spark a major leg lower, with 6217 the next support level of note.
