FTSE 100 is continuing to fall this week after a minor bounce back last week. Currently trading at 7,410 and down over 1%.

FTSE 100 is continuing to fall this week after a minor bounce back last week. Currently trading at 7,410 and down over 1%. We can see that support of 7,437 has been broken as the index is now trading below the support trendline drawn on the chart. The next key level of support on the 4-hourly interval is now at 7,393. A break below this point would then suggest that further downside is possible and a move towards the lows of July (7,230-7,300) is likely for the index. If we see any consolidation around the current levels, we will then look at resistance sitting at 7,438 then 7,459 and then at 7,481. This cannot be ruled out as we saw a similar move happen last week, the index fell around 2.5% before a bounce higher of just over 1%. Of course, this is not guaranteed, and it may just continue to fall lower. Looking at the technical indicators, MACD is negative and so is the RSI as it reads 24. The RSI has now entered the oversold territory.