The FTSE remains subdued after the number of Covid cases in the UK broke above 3,000 for the first time in over six weeks.
The index is trading in a narrowing range between 6980 and 7075. This is a sign of the market’s indecision intraday. A break above the pennant would boost momentum and lead the price to 7160, eventually turning into a bullish continuation.
A bearish breakout, however, may trigger a cascade of sell-off to 6925 and then towards 6820 as buyers try to bail out.
