FTSE 100 Index Price Forecast November 14, 2017, Technical Analysis

The FTSE 100 Index initially tried to gap higher at the open on Monday, but then rolled right over at the 7475 handle. I believe that most of this is due to a bit of uncertainty when it comes to the British government, as 40 MPs have suggested that they no longer have confidence in Teresa May. This of course is not a good look going into negotiations with the European Union, and that has a lot of people concerned about the British economy. The 7400 level is currently being looked at as support, and if we break down below there, I think that the market could go much lower, perhaps down to the 7300 level. Alternately, if we were to break above the 7475 level, that would be an extreme show of strength, and we could find yourself reaching towards the 7600 level above. In general, the market should continue to see volatility, and ultimately, I think that the market continues to be very difficult to negotiate.

However, I do believe that longer-term we should see a buying opportunity present itself given enough time, and if you are patient enough you should see the value bring itself back to the market. Right now, we may be a bit expensive, so it’s likely that selling will continue. I think that 7300 will be a very interesting level on longer-term charts, followed very intently by the 7200 level which I think is even more supportive. With this, I think short-term selling is possible, but longer-term we should see the buyers come back, taking advantage of the longer-term uptrend. The market breaking above the 7600 level is a sign that we continue the longer-term uptrend with more of a “buy-and-hold” attitude, but I think we need to build up the momentum necessary to get above there.

FTSE 100 Video 14.11.17