The FTSE 100 has failed to break and close above the February 2018 low at 6536 for a number of months now.
You can see the December 2020 candle and the candles for January and February 2021 traded above this level but ended the month by closing below this level.
With one more trading day of the month left to go, we may well finally see that close above 6536 and if this is achieved then we should continue to see bullish moves in UK stocks.
Although the move up has been rather sluggish, price has gained good ground following the 22% decline we experienced in February and March 2020 at the peak of the global pandemic. In March 2020 price continued down and found support around the 5000 round number before moving back to the upside.
With a bullish end to this month’s candle, the next level of resistance is 7000 and following that we have the all-time high at 7903, which is the May 2018 high. We will be able to get a better perspective of price action once the candle for March closes and decide on which opportunities we want to take positions in.
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