FTSE 100 Price Forecast January 15, 2018, Technical Analysis

The FTSE 100 traders had a volatile session during the day on Friday, but there are technical indications that we should continue to find buyers. This being the case, look for value, I think it’s coming. · FX Empire

Christopher Lewis

Updated Fri, Jan 12, 2018, 6:41 PM

The FTSE 100 went back and forth during the course of the week, showing signs of volatility yet again. The uptrend line continues to hold support underneath, and I think that given enough time buyers will return to pick up value on these dips. Given enough time, I think we go looking towards the 7800 level above, which is a midterm barrier, but nothing that the market can’t overcome. Longer-term, I suspect that were going to go looking towards 8000 handle, which is a large, round, psychologically significant number. If we were to break down below the uptrend line though, it could drift a bit lower, but I see so many areas and offer support that I will look at it as an opportunity to let the market “reset” so I can take advantage of the longer-term trend.

The market should continue to be a market that represents optimism from a historically cheap British pound, even though we had seen a massive breakout to the upside against the US dollar in the currency markets, so that could cause more volatility. Money seems to be flowing from the United States to Europe, and that of course includes the United Kingdom. Keep in mind that there are headlines out there just waiting to happen due to the negotiations between the EU and the UK, and those of course will cause headwinds from time to time. However, the uptrend has been ensconced in the market for some time, and I don’t see that changing anytime soon.