FTSE for Friday: an optimistic outlook and 'big deal' for S&P 500
While the FTSE 100 may feel stalled right now, independent analyst Alistair Strang is in a positive mood. He also reveals new targets for the S&P 500.
17th April 2026 07:46
by Alistair Strang from Trends and Targets
The S&P 500 has produced a “teachable” moment, the index finally closing above the 7,000 point level for the first time ever. But we’re neither surprised nor impressed.
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From our perspective, the 7,000 level should only be a footnote in S&P movements as the current cycle indicates growth above 7,052 should next trigger movement to an initial 7,085 points. The really impressive level is the potential “top” of this cycle, calculating at 7,450 points.
This secondary ambition is liable to be a big deal, representing a price level at which we anticipate some volatility. But there is an important caveat with the S&P. If the market starts “gapping” the index up, should our initial 7,085 be exceeded, it creates a situation where the goblins who control the market probably have a different, higher, target level in mind. Time will tell.
Source: Trends and Targets. Past performance is not a guide to future performance.
As for The FTSE 100, the index is driving us a little bonkers. If it would only move in accordance with “our rules”, we’d be confident proposing happy days are indeed ahead. Germany, for instance, which has mucked around since the start of this year, just ticked a pretty confident box which points at a future 25,750 on the DAX, a tidy 1,500 points above current levels.
But the FTSE feels stalled. The value of the index has exceeded the point of trend break on the Red trend and even regained the trend, so conventional logic is screaming the UK index is primed for substantial movement. Instead, we are being treated to daily shuffles incapable of suggesting direction.
Currently, above 10,687 points should prove important, potentially triggering a rise to an initial tame 10,792 points but our longer-term secondary, if exceeded, calculates at 11,183 points.
While journalists shall doubtless deem the 11,000 level as important, the FTSE 100 is liable to continue blundering upwards, with a third level target working out at a future 11,447 points.
Our alternate scenario suggests aggressive eyebrow action if the FTSE manages below 10,450 points, as weakness toward 9,983 points looks possible with our secondary, if broken, at 9,764 points. For now, we’re inclined to adhere to an optimistic outlook.
Have a good weekend.
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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