FTSE 100 started its bullish rally after finding strong support at 7139.03. From that level, the FTSE 100 index gained decent bullish momentum and tested the resistance at 7244.83. The Footsie bulls tried to breach the resistance at 7244.83 during the FOMC economic projection. Soon the bears took control of the market and formed a bearish pin bar.
The exhaustion in bullish rally might bring back the bears in the global market. However, a daily closing of the price above the resistance at 7244.83 might push the FTSE 100 index towards the 7435.26 resistance. This level might cap the bullish rally since Footsie bulls failed three times to penetrate this level.
On the downside, the first bearish target for the FTSE 100 lies at 7139.03. We might experience some bullish bounce at 7139.03 since the level was well respected in the past. However, breaking below the support at 7139.03 might push the Footsie towards the 7003.94. This level might refuel the FTSE 100 bulls and result in another rally. However, the daily closing of the price below 7003.94 might cause a result in the heavy price drop. Considering all the parameters, it seems the FTSE 100 index might exhibit a ranging move for the rest of this week. So, it’s better to wait in the sideline until the price breaks critical support or resistance.Download our latest quarterly market outlookfor our longer-term trade ideas.