FTSE continues to drift lower
The FTSE is declining once more this morning, following a flatlining low and failure to create a new high. That is worrying, and a break back below 7356 would point towards significant losses.
However, for now, it is worthwhile watching for a potential period of consolidation, with the 76.4% retracement below at 7387. Given the somewhat sideways nature of recent price action, the stochastic could become more useful, with a break back above the 20 mark providing a bullish short-term signal.