FTSE this week (FTSE:UKX)
Anyone who read our Friday report hopefully noticed the accuracy of our comments.
The FTSE (UKX) did indeed open slightly down. Then also obliged with a drizzle down to 7,433 points. Then it climbed and climbed. It’s one thing to give targets but to project accurately just how a day performs takes some experience. And yes, some luck too.
As we sledge downhill increasingly fast toward 1:15pm on Friday with the stockmarket closing for Christmas, and the inevitable rush with traders spending money, buying unneeded presents for ungrateful spouse’s, there’s only one question left. One with real importance. (note: we do have a sense of humour, just no Xmas presents yet due to time constraints!)
Will the FTSE actually hit 7,545 points?
Really, that’s all that matters to us now. If the index achieves such a level and actually betters it, 2018 is liable to start rather well.
We shall be forced to concede anything above 7,545 now has a 100 point potential gain to around 7,640 points – initially – with secondary, if bettered, a longer term 7,726 points.
While there’s a risk of sounding all “Bitcoiny” with these FTSE targets, remember London only needs to actually close a session above 7,562 which will paint the otherwise very boring year as ending, finally, in a higher high scenario. Or in plain English, we shall now mention 8,200 points in the future, perhaps even 8,750 as a level where the FTSE almost must extend the hand of volatility.
Regardless of our optimism, we shall be glad to see the back of 2017 due to the FTSE’s incredibly boring 500 point range lasting a full 12 months. This facet of life has been reflected amongst shares as a heck of a lot of them did very little during the year.
Finally, to give a touch of reality, the FTSE needs below 7,100 to justify serious concerns for the future as we’d expect 6,900 shortly thereafter, perhaps even 6,600 if someone has done something really silly.
Our best wishes for the season.
Alistair Strang has led high-profile and “top secret” software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know “how it worked” with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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