Tickmill

UK100 approaching resistance, potential drop!

Short
OANDA:UK100GBP   UK 100
UK100 is approaching our first resistance at 7225 (horizontal overlap resistance, 38.2%, 50% fibonacci retracement , 100% fibonacci extension ) and a strong drop might occur pushing price down to our major support at 6921 (horizontal swing low support, 78.6% fibonacci retracement , 100% fibonacci extension ).
Stochastic (34,5,3) is also approaching resistance and we might see a corresponding drop in price should it react off this level.
Trading CFDs on margin carries high risk.
Losses can exceed the initial investment so please ensure you fully understand the risks.

This analysis is provided as general market commentary and does not constitute investment advice.
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.