FTSE 100 Price Forecast February 28, 2018, Technical Analysis

The FTSE 100 sold off during the trading session on Tuesday, reaching down towards the 7250 handle. That’s an area that was important in the past as resistance, so it should be supportive going forward. I believe that the market will find buyers in this general vicinity, extending down to the 7200 level. Ultimately, I believe that the market will continue to be very volatile, but I do think that eventually the buyers get involved as we have recently made a “higher high”, which of course is the hallmark of an uptrend. Also, the FTSE 100 has been rather bullish over the longer term, so I think that value hunters will be looking at this as potential value.

I believe that if we can break above the 7350 level, more money will be allocated towards this market, as we should then go to the 7400 level above, and then eventually the 7500 level. I think that the market will eventually find plenty of reasons to go higher, but obviously we will have the occasional shakeout. I look at those as opportunities to pick up a bit of value just as many of the value hunters out there are. I think that if we break below the 7200 level, the market will probably go down to the 7100 level, perhaps even the 7000 level. I believe that the market will remain volatile, but if you can be patient enough, adding when the market works out for you, then I think you can start building a large position.

FTSE 100 Video 28.02.18