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FTSE 100 Price Forecast January 9, 2018, Technical Analysis

The FTSE 100 fell during the trading session on Monday, reaching towards the 7700 level where we see a bit of support. Beyond that, there's an uptrend line just below on the hourly chart that has been in effect for a couple of weeks, so it's very likely that we will see buyers return. Even if we break down below the 7700 level, I think the 76 or level after that is supportive as well. Because of that, I am not willing to sell this market, but would only become more aggressive the lower we go. The market has been bullish for ages now, and I don't see anything changing this in the short term.

Ultimately, I think we go to the 8000 level, but obviously it takes quite a bit of time. If we can break above 7800, that leads to 7900, and so on. Pullbacks offer value in a market that has been extraordinarily bullish over the longer term, and I think at this point it's difficult to short this market under the most obvious conditions. It's not until we break down below the 7500 level that I become a bit concerned about the overall attitude of the market. Because of this, I am simply waiting patiently to pick up value and continue to hold on to the FTSE 100. I suspect that we will have a significant amount of resistance at the 8000 level once we reach it.

FTSE 100 Video 09.01.18

This article was originally posted on FX Empire

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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