I think there might be a pull back for the cyclicals in europe. Some kind of negative news I predict will unsettle this sector of the market. This is a heavy resistance level and has reason for a pull-back
Fundamentally, the global demand for the asset is starting to recover moderately, this is a certain by the CFTC data on speculative position (236.5k). This trickle down to the technical analysis. buy position opens after price moves slightly above the consolidation region with target as have indicated.
If the EUR SX5E Top 50 Can consolidate above the EMA price should continue up to the next level on the Fibonacci retracement before breaking down or ranging lower. This should create a stronger EUR in the FX Markets against both Major/Minor Pairs
Analysis looking back at the last 9 months movement of SX5E.
I am thinking this will now take a dip and stat to call over the next 4-7 market trading days.
Still relatively new to this market, feel free to take this all with a pinch of salt.
Let me know your thoughts...
Let me know if you agree...
Let me know how you get on =]
Tested support of around 3275 points. RSI at oversold level. Possible retracement from current downtrend up to fib level of 0.236 with the target level being around 3350 points. More confirmation required but represents a potential buying opportunity in the short term.
With the breakout of 3400 and the deep retracement till 3330 we have to redraw the entire Elliot structure, with the price back in wave2. This structure will be confirmed just if the price hold the support in area 3315/3308. A rebound could find the first resistance in area 3400.
With the breakout of 3308 we'll be back in the ABC structure, with the...
With the today's High the waveC is ended. Due to a thin trading day (Wall Street closing) the index has retraced till 23.6% Fibonacci level of the range B-C.
The breakout of level 3400 could bring the price first to 3380 then to 3360.
On the other side, the breakout of today's High could bring the price in area 3460/3470 first, then in area...
After the US CPI data, the price did a new Low and regain very quickly ground.
In hourly time frame this Low should be the end of the corrective WaveB of the pattern (ABC).
An evident divergence in the RSI should be the a signal for a long target in area 3450 (WaveC)
Confirmation should be provide with the breakout of 3368/3370
With the minimun of the 9th February, which rapresent 38.2% Fibonacci retracement of the entire Elliot Wave's structure, should be concluded the corrective pattern (ABC).
Short term target:
Upside area 3450/3460
Just with the breakout of 3307 first target in area 3215/3220.
We have a nice descending channel in development as a correction from the uptrend.
I expect breakout from the channel soon and you can use it as entry point for long positions to TP levels as marked on chart.
One day goes up and one day goes down
It's better to wait for the break of the triangle formed by the intersection of the bearish channel
and the red line of the fibonacci's fan
Fisher indicator that could return bearish.
The targets are 3605 in the event of a break up
and the 3406 in case of break down
Its on weekly Corrective structure 3525 Level has been broken now retesting it Possible heading to 3305 Level. also we have 3408.1 level to watch for
First target 3408.1
Final target 3304.1