Yahoo Finance FTSE 100 Price Forecast October 20, 2017, Technical Analysis
The FTSE 100 fell initially during the day on Thursday, testing the vital 7500 level, but found enough support there twice to turn around and rally. Because of this, I think the buyers are coming back and we should continue to see the market show signs of strength again. I think that the overall uptrend continues, and we are simply testing the bottom of the consolidation area. This consolidation area should lead to a continuation of the overall uptrend, and I think that we go to the 7550-level next. A break above there census market looking to the 7600 level, something that I would love to see as I am already long of the market. Adding small positions to a core position is probably the best way to go, and with the historically cheap British pound, I think we should continue to see buyers. However, the if we were to break down below the 7480 level, I think at that point were probably going to go looking towards 7450, and then possibly even 7400.
I believe that the uptrend is intact as long as we can stay above the 7400 level, so break down below that level is catastrophic from what I see. Ultimately, this is a market that should continue to produce a nice longer-term “buy-and-hold” trade, and I think that eventually we will go looking towards the 8000 handle. That’s a longer-term target obviously, and is can it take a long time to get there but I do think it happens. Ultimately, the buyers should continue to be attracted to the distressed of value of most British companies, and of course the realization that perhaps the United Kingdom will survive leaving the European Union. There will be a time of adjustment, but eventually all things will return to normal.
FTSE 100 Video 20.10.17
This article was originally posted on FX Empire
