FTSE FOR THIS WEEK (FTSE:UKX)
There’s a fairly large question mark over Spain as, regardless the referendum result, the country’s truly shocking antics appears to have thrown a spanner in the works of Europe.
As a result, we expect some jitters against European indices but wonder whether Brexit UK will escape a dose of collywobbles.
The FTSE 100 (UKX) certainly performed as expected at the end of September and now near-term moves bettering 7,384 look capable of provoking 7,441 points.
This appears to be quite a big deal now as trades above 7,441 enter a cycle toward 7,630 points which, of course, would establish a new all-time high for the FTSE 100.
As always with the market there’s a blue line, and currently it’s lurking at 7,520, almost certain to interrupt any rise cycle.
The immediate FTSE uptrend is sitting at 7,300 points. In the event of weakness below this point anytime soon, we’re looking for weakness toward 7,230 initially, matching the uptrend since December 2016.
If this particular red line is broken, slippage to 7,100 looks probable, perhaps even 7,025 as a bottom where we’d tend hope for a bounce.
For the moment, Spain permitting, it appears the FTSE still wants growth.
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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