FTSE 100 Price Forecast February 21, 2018, Technical Analysis

Ultimately, the 7300 level above is resistance, and I think if we can break above there, the market will continue to go much higher, perhaps reaching towards the 7400 level, and then eventually the 7500 level. Ultimately, this is a market that I think has plenty of support underneath, so I’m going to ignore selling signals until we break down below the “floor” in the market at the 7000 handle. If we remain above there, we are still in an uptrend from what I see on the longer-term charts. If we were to break down below the 7000 handle, then I think things get ugly and interesting.

I believe that buying dips continues to be the best way forward, building a larger core position for an anticipated run to the 7500 level. Breaking above there should send this market reach towards the 7700 level, and then eventually my longer-term target: 8000. I think it’s going to take several months to get to that level, and I think that given enough time we will reach it, but it won’t be without the occasional hiccup along the way. Those “hiccups” should be buying opportunities, so building a position slowly might be the best way to deal with the FTSE 100. Ultimately, the FTSE 100 is at the mercy of headlines coming out of the negotiations between Brussels and London, so occasionally we could get the sudden knee-jerk reaction. Longer-term momentum still seems to be to the upside though, so I’m willing to keep buying.

FTSE 100 Video 21.02.18