FTSE 100 Price Forecast March 1, 2018, Technical Analysis

The FTSE 100 has been very noisy over the last several days, hanging about the 7250 handle. The market has been very noisy in this area, but it is the scene of previous resistance, so it should now offer support that you can take advantage of. I believe that the market will eventually find plenty of reasons to rally, as there should be value hunters coming out. If we were to break down below the 7200 level, then I think the market could drift towards 7100, and then eventually 7000. I think there is a hard “floor” at the 7000 handle, that keeps this market going higher.

The alternate scenario is that if we break above the 7350 handle, the market should then go to the 7500 level after that. Ultimately, I think that level being broken to the upside would be more of a “buy-and-hold” situation, and therefore I would not only be long of FTSE 100 at that point, but I would be aggressively so. I would add to positions on short-term dips, and that is my longer-term plan. However, it’s not until we break out above that level that I would become aggressive. I don’t want to sell this market, but also recognize that if we were to break down below the 7000 handle, the market would become very negative, and then I would become a massive cellar, selling rallies as they occur. I don’t think that’s can happen though, for me, I believe stock markets around the world are going to continue to find buyers.

FTSE 100 Video 01.03.18