FTSE100 (UKX) Selling Pressure Likely After an Upward Correction

Resistance Level: 7,500, 7, 600, 7,700
Support Level: 7,300, 7,200, 7,100

FTSE 100 (UKX) Long-term Trend: Ranging
In the last 48 hours, there has been no significant price movement as the stock price remains almost the same. On January 31, the stock was valued at 7,280.80 and today the market has remained the same. Nevertheless, the downward move is likely to continue as the market is still bearish. The stock will further depreciate to the low of 7,100.

This has been the minimum stock value since February 2019. It is unlikely for the price to break this level, as the support has been holding for long. Rather, the market is expected to move up to retest the upper price level. Meanwhile, the stock has been in a range-bound movement.

Daily Chart Indicators Reading:
FTSE 100 stock is approaching the oversold region of the daily stochastic. If the stock falls below the 20% range of the daily stochastic, the market will be in the oversold region. In the oversold region, the bears will not be available to push the stock downward. Rather, there will be the presence of bulls to push the stock upward.

FTSE 100 (UKX) Medium-term Trend: Bearish
On the 4-hour chart, the selling pressure is on hold as the bulls make an upward correction. The upward correction may bring about a retest on the previous high; this will bring the resumption of the downtrend. As the market continues its bearish run, the price may revisits the previous low of $7,000 or $7,100.

4-hour Chart Indicators Reading
The Relative Strength Index period 14 level 26 indicates that the market has reached the oversold region. Buyers are likely to emerge as the market reaches the oversold region. The oversold region will be deficient of sellers as the market resumes its upward move.

General Outlook for FTSE 100 (UKX)
FTSE 100 stock is still on a downward move. The price fall is ongoing as the price bars are below the EMAs. The indicators are showing that the stock is in the downtrend zone and it is likely to fall.

FTSE 100 (UKX)Trade Signal
Instrument: FTSE 100 (UKX)
Order: Buy Limit
Entry price: 7,100
Stop: 6,900
Target: 7,700

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