- There seems to be no stopping for the FTSE100 index. Fresh demand/buying interest below 5-DMA underscores the fact that sellers just don’t have motivation to enter the markets.
- The index appears poised to test 6962 (127.2% Fibo extension of Feb 2011 low – Apr 2016 high – June low).
- However, note the money flow indicator is overbought now… so caution is advisable.
- Only a break below yesterday’s low of 6812 on day end closing basis would open doors for a technical correction.
