FTSE Progress in 2014/15

Hi all,

Where do you see the FTSE heading over the next year? I believe it will end the year between 6850 and 6900 and next year between 7100 and 7200.

Some countries, industries and companies will be winners with a lower price of oil and some will be losers. Overall, the United Kingdom has more to gain than it does to loose from lower oil prices. The "Footsie" is heavily weighted toward finical and consumer based industries, which should enjoy gains as lower energy prices stimulate consumer spending. I expect it to be at 7400 at the end of 2015.

I think the FTSE 100 will definitely pull some gains from low oil prices. However, 7400, which would be a new historical high seems a little too high especially considering other issues affecting Europe. Additionally, I do not expect the prices of oil to remain low. I think consumers know this too and might perhaps opt to save more than spend extravagantly. For me, 7000 seems more realistic and considering the liquidity of the FTSE 100, it might yet be a back and forth match towards 7000.

The FTSE 100 is testing a major resistance zone at 6800-6850, and seems well set for a short-term pullback. At the moment open short at 6850 with target profit at 6550 and stop loss at 7000. Overall, a sideways movement over the next few weeks could be witnessed. The Stock RSI, the RSI and CCI all appear to support this theory, signalling a downward movement.

whats your current take on the ftse now. very close to reaching 7,000. Im contemplating putting a short around the 7050 mark? opinions and insight from you guys most welcome.

I'd say wait and see what happens if it does reach 7,000.- look at the last six daily candles and you'll see none of them have managed to close higher. Without knowing what time frame you trade off, it is pretty difficult to advise you, except in saying that on the Daily, the overesxtension from the 200 exponential moving average, and the way the price is behaving, may well prompt some traders to short this now. The 4 hour chart looks like it is rolling over, but it could continue to move sideways for awhile longer. Closer in, and the hour chart is looking like a sell right now, down perhaps to the 6,910 level, and there is certainly a nice bearish hammer candle on the 8am GMT candle. Hope that helps. I don't trade FTSE by the way, but all the charts can pretty much be read the same way, as after all, there's no difference between the traders who trade the FTSE or the DAX, and those that trade any of the forex pairs.