FTSE 100 Price Forecast July 19, 2017, Technical Analysis

The FTSE 100 had a very volatile session as we gapped lower at the open on Tuesday, fell all the way down to the 7350 handle, sliced through the 7400 level, and then pulled back again. I think that the market overall is going to continue to consolidate with an upward bias. The British pound had a rough day due to the CPI numbers missing coming out of London, so that of course had a knock-on effect over in the FTSE 100 as well. I think the given enough time we will continue to see a lot of volatility but I think we will rally. Given enough time, I think we will break out to the upside and reach towards the 7500 level. However, if we break down below the 7350 level, the market will probably go looking for the 7300 level.

British pound

I think that the British pound will continue to be very volatile, so having said that it’s likely that the markets will react as such. I do believe that the uptrend will probably continue, but given enough time I think it’s likely that the market will move in both directions, causing quite a bit of volatility and confusion. By trading small positions, you can at least protect yourself from massive swings in profit and loss, allowing the market to be one that can be traded the longer-term, and as the move goes in our favor, I’d be willing to add slight bits and pieces to my trade, gradually making for a larger position. I do have more of an upward bias.

FTSE 100 Video 19.7.17