Share Tips – FTSE 100 to hit 7,000 – BUY
This stock market tipster has been very impressed with the resilience of the FTSE 100 Index since the beginning of the year. Every time it appeared we were heading for a major correction it bounced back and has managed to hold on to the gains.
The index closed earlier today at a price of 6,375.52 and at current levels is trading off a P/E ratio of about 14, which is not expensive in a low interest rate environment. The chart below confirms this, both on a p/e basis, but also on a cyclically adjusted p/e basis.
Therefore, my latest share tip is a Buy of the FTSE 100 Index at 6,375, in anticipation of a move higher, possibly towards 7,000 by the end of 2013. This is an Opening share tip and for those of you who would like to keep track of the index, you can do so by clicking here.