FTSE 100 Price Forecast December 7, 2017, Technical Analysis

The FTSE 100 initially exploded to the upside during the trading session on Wednesday, reaching the 7370 handle again where we have seen resistance as of late. However, as we pulled back it looks as if the buyers are coming back and I think we will go looking towards the 7400-level next. The real question is whether we can find enough resistance in that area to roll over and go lower, or will we break above the 7420 handle. If we do, then I think the buyers will take over and we could then reach towards the 7600 level longer term. However, if we roll over from this region, we probably go down to the 7200 level which is the bottom of the overall consolidation area.

I the volatility will continue to be an issue, especially as the British pound has been very noisy. Overall, I think it’s probably best to wait for a daily candle to tell us what to do, so I think short-term trading is all but impossible. There are easier to trade to take, so I’m on the sidelines when it comes to the FTSE 100 is the next 24 hours, but I am paying attention to the 7400 level with great interest. A break above the 7420 level has me buying immediately. Otherwise, patience is a virtue, and probably the best way to look at this market. You will course be a lot of headline risks out there as we are watching the negotiation between the European Union and the United Kingdom. Because of this, small positions are recommended until we get a bit more clarity.

FTSE 100 Video 07.12.17