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Charts: FTSE Headed for 'Severe Decline'
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The FTSE-100 may continue its run higher for another month or so, but the UK’s main stock index faces a "severe decline" early in the New Year, Sandy Jadeja from SignalPro told CNBC Thursday.
"My expectation for the FTSE-100 is that the year 2010 is going to see a high followed by a severe decline. And I don't think we're going to see lows until 2012, possibly 2013," Jadeja said.
"Technically speaking the FTSE really is at a critical level… 5,495 to 5,550 (points) is an area where we may see a reversal, but I think the reversal is going to happen late January, possibly in February," he said.
Jadeja said that from a historical point of view, the years ending with a zero such as 2010 end up quite negative. The performance of years ending in 2s and 3s is also quite bad, he added.
- Watch the video above to see the full interview with Sandy Jadeja
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Data is a real-time snapshot *Data is delayed at least 15 minutes
