When we last
looked at the FTSE the zone in January was 6800-6900 and in Feb it was
Wednesday, the FTSE closed at 6862.68, close enough to the middle of the zone,
and the close of Friday, as one can see, would have been where the zone was, so
job done really.
Now, we come
to where the ratios and the zone are now.
zone, and although it has dropped to 6750-6850 it could in fact be anywhere
between where it is now and where it was last week.
means, at the moment, there is precious little ratio from 6750 all the way up
When you add
the Y ratio at either end then we have the potential to have a great expiry
with trading range of 350-points, or just over 5%.
Type: On balance only just bearish
Boy, do we
now regret not doing the rollover for the DAX.
comment on this index was back on the 7th Jan, when the market had
just closed at 10767.
worth recalling as the zone then, for the Jan expiry, was still at 10950-11050,
so last Wednesday, the rollover, when the market closed at 10931, we thought
here’s the regret, we had no idea how bizarre Feb was shaping up to be.
As one can
see from the table above, the ratios are seriously lopsided, and more
interestingly the zone is down at 10650-10750.
where the zone is concerned, it could very easily flip to anywhere in the Y1
the issue here, as Y ratio is all there is under the zone.
It may not
go sour, and the delta ratio of 500% suggests every man and his dog thinks it
won’t, but if it does, it could be calamitous. Unless you’re a bear of course.
Today, will be the decider we feel, as the proof will be how this market reacts to the R ratios at 11250, and especially at 11300, so, best also pay close attention to any opening gaps.
Range: 10750 to 11250