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Very stretched FTSE

It's shaping up to be a good year for the FTSE 100. Or at least, that's the message of history right now. Positive Januaries often foretell an up year overall. The UK large-cap index had risen 7.6 per cent as of its highs of Tuesday 29 January. And, as I pointed out in this video - http://bit.ly/YEnH2D - the FTSE has always delivered a positive annual return in years where it has gained by more than 2.2 per cent in January. The sheer strength of these gains has left some traders feeling uneasy, though.

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By Dominic Picarda,
31 January 2013

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