FTSE kept going down, gapped down on the open, gap closed and right back down..., seems like everyone is covering before the referendum...
The recent down move from 6320 was fierce and today it pearced the support zone (wait for tomorrow though, daily close is coming up and the down move is slowing down now...).
Currently RSI and stochastics are heavily oversold so we could already see a smaller degree up retracement soon (back to broken support?), if the retracement is limited and we go further down after, the level I'll be watching for a possible larger degree retracement is where a possible AB=CD completes...
Bullish target from the AB=CD (if it completes) is normally 50% of the CD leg but take it step by step, trail SL and focus on 6048-6076 first (re-test of support)!
Be careful, anything can happen... I would in any case suggest closing all positions by the time the referendum is due!!
The recent down move from 6320 was fierce and today it pearced the support zone (wait for tomorrow though, daily close is coming up and the down move is slowing down now...).
Currently RSI and stochastics are heavily oversold so we could already see a smaller degree up retracement soon (back to broken support?), if the retracement is limited and we go further down after, the level I'll be watching for a possible larger degree retracement is where a possible AB=CD completes...
Bullish target from the AB=CD (if it completes) is normally 50% of the CD leg but take it step by step, trail SL and focus on 6048-6076 first (re-test of support)!
Be careful, anything can happen... I would in any case suggest closing all positions by the time the referendum is due!!
Komen:
1H turning bullish from oversold condition but might just test the fast EMA's which have been giving support, best to wait:
Daily target is lower: 5853-5809: