The FTSE for Friday: blue-chip index can break 8,000 again
In optimistic mood, independent analyst Alistair Strang sets out a scenario where the FTSE 100 can reclaim the big figure then achieve a record high.
12th April 2024 07:39
by Alistair Strang from Trends and Targets
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Emotion is dangerous when reviewing the markets and shares. Over the years, it became apparent we’d be more inclined to take a positive view of an instrument if the weather outside was nice, the grass cut, the hedges flowering, and the sea calm.
It has obviously been raining again but we’re making an effort to provide an optimistic view for the FTSE 100.
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Since 25 March, the FTSE has chosen to pause its climb, stalling at the 8,000 point level, perhaps an attempt to convince traders a solid ceiling exists.
Currently, our inclination is against panic on the FTSE unless the index somehow wanders below 7,832 points, as this is liable to trigger some real dramatics with 7,779 as our initial drop target with secondary, if broken, at 7,752 points and hopefully a rebound. If triggered, the tightest stop is quite attractive at 7,882 points but probably could be a lot tighter.
However, despite the weather, our inclination is to take a more positive stance rather than stroll around in the current miasma of misery. As a result, we hope above 7,965 shall trigger market recovery to an initial 8,033 points with our secondary, if bettered, now at 8,110 points. If triggered, the tightest stop looks like 7,918 points.
Source: Trends and Targets. Past performance is not a guide to future performance.
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.
Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang or Interactive Investor will be responsible for any losses that may be incurred as a result of following a trading idea.
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