• FTSE 100 reversed from major resistance level 150.00
• Likely to fall to support level 7300.00
FTSE 100 index recently reversed down from the major resistance level 7405.00 (former monthly high t from the middle of November) intersecting with the upper daily Bollinger Band. The downer reversal from the resistance level 7405.00 stopped the previous minor impulse wave (iii) of the higher order impulse waves 3 and (3).
Given the strength of the resistance level 7405.00, bearish divergence on the daily Stochastic indicator – FTSE 100 can be expected to fall further toward the next strong support level 7300.00 (former resistance from the end of last month).