Yahoo Finance FTSE 100 Price Forecast December 13, 2017, Technical Analysis
The FTSE 100 rallied during the day on Tuesday, reaching the psychologically important 7500 level. This is an area that I would expect a little bit of a pullback from, and on the hourly chart we are in fact starting to show signs of resistance. I think that the market pulling back to the $7450 level makes sense, where we would see a bit of order flow coming back into play. That should be a buying opportunity, and I think that the 7400 level will be a bit of a “floor” in the uptrend. However, if we were to break above the 7500 level, that should send the market towards the 7600 level above, the top of the longer-term consolidation area.
I think it’s going to take a while to break above the 7600 level, but once we do it’s a longer-term buy-and-hold situation. I think the pullbacks continue to be opportunities to get long of the market, but I think that the best way to get involved is to look at these pullbacks as value that we can add slowly to a longer-term move. I believe the market is a little bit overextended at this point, so the pullback is welcomed. I have no interest in shorting, I believe that we are starting to see a move towards the top of the longer-term consolidation, and of course value to be found in the United Kingdom. It’s not until we break down below the 7300 level that I would think that we could be in trouble.
FTSE 100 Video 13.12.17
This article was originally posted on FX Empire
