Goldman Sachs has upgraded its Stoxx 600 12-month target to 520 from 480 and now also sees the FTSE 100 at 7900 verse a previous view of 7600. Goldman sees a good catch up trade-in banks, energy, and basic resources. Does the FTSE 100, therefore, offer tremendous value right now? Or is it better to wait for the strong seasonal pattern that is in play from the end of September?

Over the last 21 years, the FTSE 100 has risen 76.19% of the time between September 23 and January 01 with an average return of +3.65%. The largest gain was in 2001 with a 13.10% gain. The largest loss was in 2008 where it registered a -11.18% loss.

Major Trade Risks: Any return of a vaccine-resistant COVID-19 variant could result in a slow down for the UK economy and weigh on the FTSE.