FTSE Chart Analysis – Rally Picks Up Pace, Has Prior Lows to Overcome

FTSE Technical Highlights:

  • FTSE picks up momentum after slow start off low
  • Trading around prior lows from summer
  • Break above resistance opens up room

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FTSE picks up momentum after slow start off low

When the FTSE posted a key-reversal back on September 11 we made note that given the oversold state it was in and bullish price action it was due for a recovery bounce. In recent sessions recovery-mode morphed into a strong surge higher.

Yesterday, price slightly overtook the 200-day, but still needs to firmly overcome lows from June and August. A close above 7520 may help clear a path towards a swing high created late last month in the 7630-vicinity, or better by running to the trend-line off the record high.

Overall, since topping back in May we still hold a skeptical eye towards a rally, though, as the trend since May remains negative. However, with appetite for stocks, globally, having improved recently and the U.S. continuing to hold onto a bullish outlook, the FTSE may find itself

Article source: https://www.dailyfx.com/forex/technical/home/analysis/uk100/2018/09/26/FTSE-Chart-Analysis-Rally-Picks-Up-Pace-Has-Prior-Lows-to-Overcome-PRtech.html