The FTSE 100 has initially fallen during the week but found enough support again near the 7225 level to turn things around and start rallying again. The market has reached towards the 7250 level, an area that has been resistance in the past. I think if we can break above the 7350 handle, then the market will go looking towards the 7500 level. This is a market that continues to be very noisy, and I think is trying to form some type of base for what I think will be a continued move higher.
I look at the 7000 level as the "floor" in the market, and if the market were to break down below there, that would be very ugly and negative for this market, perhaps sending it down to the 6700 level. In the meantime, I think that this pullback that we have seen over the last several weeks has been value presented itself, and I think that a lot of the longer-term traders will be out there looking at it as such. Because of this, I think that we will eventually see the highs again but it's also going to be very noisy. I would use a small position initially, perhaps adding if we can continue to go higher. I have no interest in shorting this market if we can stay above the 7000 handle, which looks to be the likely scenario at this point. If we continue to see strength in stock markets around the world, the FTSE 100 will be any different as the risk appetite seems to move all markets.
FTSE 100 Video 12.03.18
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.
