• FTSE 100 broke support level 6460.00
• Likely to fall to 6330.00
FTSE 100 index today broke below the key support level 6460.00 – which reversed the price with the daily Japanese candlesticks reversal pattern Bullish Engulfing at the end of December – as can be seen from the daily FTSE 100 chart below. The breakout of the support level 6460.00 coincided with the breakout of the upward sloping support trendline from November – which added to the bearish pressure on this stock index.
Given the continued doubts about the recovery of the British economy – due to the slowdown of the vaccination programme in UK – FTSE 100 is expected to fall further toward the next support level 6330.00 (low of the daily hammer from December and the target price for the completion of the active impulse wave (3)).