FTSE 100 Price Forecast January 11, 2018, Technical Analysis

The FTSE 100 has initially tried to rally during the day on Wednesday, but then pulled back to test the uptrend line. The uptrend line of course showing signs of strength and bullish pressure, and that being the case I think that the market will eventually go looking towards the 7800 level, and perhaps reach towards the 7900 level, followed very quickly by the 8000 level which obviously is a large, round, psychologically significant number.

The FTSE 100 has been grinding higher for months, and this uptrend line that we have seen over the last couple of weeks has been rather strong and reliable. Because of this, if you have been buying dips on short-term charts over the last couple of weeks, you’ve made out quite well. If we did breakdown below the uptrend line, I think the market would find plenty of support near the 7700-level underneath, and that of course the 7600 level which could be the target as it is the beginning of this most recent channel.

I believe that value hunters continue to look at the FTSE 100 based upon the idea of the British pound being historically soft, which of course helps quite a bit when it comes to exports. Beyond that, I think that global growth is starting to come into play when it comes to all indices, and of course this won’t be any different going forward.

FTSE 100 Video 11.01.18