With cheap money on the market, a possible European QE, low interest rate, CAC has still a good perspective. Nevertheless, the index has finaly entered to a correction phase....
Euro is already dancing for the summer. But the dance is not the Samba but rather the lambada for those who may remember the song and the music. It is a little up, little down but rather side way dance, puzzled one to each other.... At a near future, it doesn't look yet as being able to move to one or the other direction. I keep my trading plan since 1.3535 to see...
Well, the normal adage of a normal market trade says " sell in May come back in September." For those who are short since May it may have been a catastrophe. Having said that, The market is facing a normal and regular correction. This correction may last until 9400 or 9200. Bellow that level, it may very much slip bellow 8950. Furthermore, the money is still...
Well, there is no harm to say the truth. If World economy was so good and promessing, ECB would lower its interest rate under 0, nor FED would have kept a low level interest rate. We should have been in a situatio with at least a 2% inflation and same thing for the growth rate. Which is not the case. But the market bought the idea and the policy of cheap money and...
Since there is no change in FED's policy, ie no review or postponing of the QE end date, in other word, FEd is keeping the tapering schedule, interest rate will not rise one to a sudden, at least not before 1Q15, we can expect 101.5 to remain an important support level and 103.5 an important resistance level. If FEd increase its interest rate, we may se a move...
Friends, This pair is quite difficult to grasp from a fundamental perspective, as both $EUR and $JPY are expected to under-perform. Yet, there could potentially be a trade opp here, using my prop predictive/forecasting model FUNDAMENTAL DATA: First, $EUR's recent negative deposit rate combined with ECB's option of turning to large-scale asset purchases are...
You are very able to read my previous analysis concerning gold. At 1240 I was saying that there was a little room for a upside move towards 1280 but that the general trend is still on the down side. I do maintain my view that on a long term basis, Gold may see clearly 1180 and even bellow before switching to a long term strategy. With the increase of inflation in...
Here we are. As forseen for several days, the correction on indexes has been ignited. SPX has started the initiative following by DOWI DAX NASDAQ CAC SMI and tomorrow it will continue with IBEX35. On the other hand, VIX jump up one to a sudden. The midway to the correction may be around 1840-1820. Here we are.... At last....In the mean time those who are...
After the fall of EUR against USD, and the announcement of ECB with regard the interest rate, there has been a little move up on GOLD. It could also be interpreted as an upside technical correction because of the very low level of the indicators such as STOCH, William%R or even RSI. Having said that, although there may be a little room on the upside towards...
CAC has started to initiate the technical correction I have forseen for the last weeks. The process has been slow because of ECB's intervention, the expectation raised before and the political situation in France. Indicators show clearly that we are in an overbought level and the correction process has started. Fibo retracement could be used as target and...
For those who do follow my DAX chart and analysis, as forseen, the index has started its correction. We have a confirmed Raisong Wedge pattern and a beginning of a correction on DAX. This correction may also be on a medium term a reversal, but we are not there yet. As far as the correction is concern, one can easily have 9763 as an initial target, then a little...
Friends, Last Wednesday, June 04th, i posted two bearish targets for this chart, nmaley: 1 - TG-1 = 1.43744 - 04 JUN 14 and 2 - TG-Lo = 1.40384 - 04 JUN 14. For a detailed technical commentary of the predictive analysis and forecasting, see the original chart/text here: . As of today, the outlook remains bearish and the lower target remains intact and in...
The "ECB hammer" failed to play out as a reversal and instead price has no sunk to recent support at 1.35. With the stochastic turning up a few positive days can move price above the LSMA and create a bullish signal. In the big picture price is trading in a broad range between 1.34 and 1.40 with minor levels of support and resistance in between. Let's see if...
Well there isn't much to say about the chart. It is a daily chart of the 3 Months Highs NASDAQ. The trend line is obvious, the indicators are clear, the trend as well. Keep in mind the prices of Today, and think about the eventual outcome for tomorrow. Only stunt traders would go long these days... Or those who have money to waist...
SPX has faced a very long, quick raising trend. The Raising Wedged didn't break with a pull back, but to the contrary with a second raising wedge on the upside. A normal raising wedge would break up on the downside with a pull back correction. But we do hevae a raising wedge within a raising wedge. This is the outcome of too optimistic political statement about...
EURUSD has respond to ECB decision to lower the interest rate. The decision was already known. Market anticipate the decision and from 1.3980, Euro went down to 1.372 and then 1.3502. ECB confirmed its decision to lower the interest rate, and now the market is in a kind of political equilibrium, but not yet in an equilibrium between BULL and BEARS. Indicators...
CAC had a very classical pattern from a raising channel to correction. This has occured at least three times for the last 18 month. When CAC cannot enter into a raising channel because of lack of momentum, or hesitation from the market, it enter into a trading range channel where you buy at around 4400 and sell at around 4500. But since the ECB expectation and...
If World economy was good, ECB wouldn't think about putting into the market a European QE, nor would it plan any ABS or LTRO. ECB wouldn't lower the interest rate that low, even on the negative side in order to push the banks to give loans which bank do not give. They do prefer to earn money from the market through options, warrants, turbo calls etc....