Ichimoku Analysis (Daily chart)
Tenken-Sen- 5892
Kijun-Sen- 5899
FTSE100 upward got exhausted yesterday and lost more than 200 pips from high of 6098. The global stock market sell-off due to weak US economic data is putting pressure on FTSE100. It hits a low of 5891 (Kijun-Sen) at the time of writing and recovered sharply till 5977. The candlestick pattern looks like a hammer in the daily chart.
The near-term resistance to be watched is 6000, and any violation above will take the index till 6034/6098 (yesterday's high)/6123. Significant trend continuation only if it crosses 6200.
The immediate support is around 5938, indicative violation below targets 5889. Bearish continuation only if it breaks below 5800.
It is good to buy on dips around 5945-50 with SL around 5889 for the TP of 6120.
