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FTSE100 forms bullish divergence pattern, slight jump till 6,100 is possible

  • Pattern formed – Bullish divergence (CCI (50) and RSI (14)
     
  • Potential Reversal Zone (PRZ) – 5,845 (Feb 24th 2016)
     
  • The index has recovered yesterday after making a low of 5,906 yesterday. It is currently trading around 5,945.
     
  • Short term trend is slightly bullish as long as support 5,845 holds. Any further weakness can be seen only below 5,845 level.
     
  • On the higher side minor resistance is around 6,000 (hourly Kijun-Sen) and any indicative break above targets 6,052 (55 H EMA)/6,108 (7 day EMA).
     
  • FTSE100 is facing strong support at 5,845 and break below targets 5,732/5,600.
     
  • In daily chart CCI (50) and RSI (14) has formed bullish divergence pattern .So a slight jump is possible.

It is good to buy at dips around 5,925-5,930 with SL around 5,845 for the TP of 6,050/6,105

  • Market Data
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