FTSE 100 Price Forecast March 20, 2018, Technical Analysis

The FTSE 100 sold off significantly during the trading on Monday, showing signs of risk aversion as all other indices around the world did as well. I think this market will find value hunters eventually, perhaps closer to the 7050 level, or maybe even the 7000 handle which I believe is the “floor” in the uptrend. It’s at that level that if we were to break down, I think things could get rather ugly for the FTSE at that point. However, I don’t look for that to happen in the short term, and I believe that there are enough value hunters up there to keep this market somewhat supported. Even as ugly as the day looked, we only lost a bit over 1%. That is most certainly within the realm of normalcy, so I think that it’s prudent to keep that in mind. With the noise that is currently so much a part of the financial markets, one must be very cautious about listening to too much of the noise out there. I believe that traders will continue to look for reasons to be involved in the market, as bond market simply do not offer enough return.

FTSE 100 Video 20.03.18

Ultimately, this is a market that should continue to be very noisy, but that’s going to be the way forward for all markets. Add in the fact that we are still trying to figure out where the negotiations with the European Union will go, and the FTSE will remain volatile.