FTSE just cannot follow other markets higher and still unable to break 5850/60! It now looks like we haveseen the high for the summer rally and we expect the market to break down in to the end of the week andfurther in the weeks to come. This could be the big sell off we began to warn about a week ago. Any rally towards5850 can be used to enter or add to existing shorts.
Below 5800 we look for 5758 next target. A break here then should see us going for 5725 then 5692.
If it does push higher today look for 5895/00 which should be a struggle but if we continue higher we cannotrule out a move to 5954, possibly 5970. From here up to 6000 is a chance to enter medium term short positionswith the market starting to look very overbought on daily charts.