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O'Hare: Shorting FTSE 100 as losses could accelerate

Steve O'Hare sets out his shorting strategy for the FTSE 100. With global equity markets diverged on rate hike timings the FTSE has been underperforming on a relative basis with better returns seen on the major US exchanges, for example.


The market has corrected from the August low at 5767, almost a 61.8% Fibonacci correction of 2011 bull rally. This recent pullback has stalled and attracted sellers at a 50% retracement of 2015 selloff. 
Levels seem to be topping out at 6500 with horizontal and downward resistance lines capping gains.  
Selling into rallies
Setting shorts around 6350 and 6250
Targets: 6150 6050
Stop: 6500

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01:38 minutes
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