FTSE 100 Price Forecast December 11, 2017, Technical Analysis

The FTSE 100 gapped higher at the open on Friday, and then exploded to the upside, reaching towards the 7400 level, an area that has been “fair value”, at least over the last several months. If we can break above the highs for the trading session on Friday, the market will probably go looking towards the 7470 level, perhaps even higher than that to go to the 7600 level after that. That’s the top of the overall consolidated area for the last year, and with that being the case I think that the upside will continue to be targeted. When you look at the longer-term charts, we have been rallying for some time, and because of that it’s likely that we will continue to see bullish pressure, especially if the negotiations between the European Union and the United Kingdom continue to go as smooth as I have over the last several sessions. It’s safe to say that perhaps the United Kingdom was priced in for Armageddon, so that being the case it’s likely that the market will continue to see value present itself. If we break down below the 7300 level though, that could be a rather negative for this market, and then I think we go down to the 7200 level.

The 7200 level of course is the bottom of the overall consolidation, so it’s not until we break down below there that I would be concerned about the longer-term uptrend. In general, I think pullbacks are buying opportunities in a market offering the occasional value that we will see as headlines will probably knock us around occasionally.

FTSE 100 Video 11.12.17