As we said on Friday in the FTSE it has 100 points of no ratio below it if or when the NZ changes and at its lowest it was down 103.57 points.
Irritatingly the zone hasn’t changed today but it is still very much on the cards.
Actually there are no changes at all in the ratios so as things stand 7350 could become the bottom boundary of the NZ at any time but currently it is only Y2, which seemed enough to hold this market on Friday as the low was 7339.44.
However it is only a Y ratio and the R’s don’t kick in for a distance yet.
Range: 7250 / (7350) to 7450
Type: On balance just bullish
As we said on Friday in the DAX “It could well be a case of R1 to the rescue again” and at its lowest it was down 114 points but more importantly the low was 12098 and R1 was at 12100.
There have been a few ratios to change but the most important is R1 below the zone that slips to 12050.
This makes 2 tests of R1, the first was on Monday when it stood at 12150 and the low was 12142, so hopefully this time it generates a better reaction.
All week we have been mentioning how friendless this index has been but today we are seeing the first signs of decent bullish activity so if this continues the main threat may well come from the other markets, with the focus on the DJX of course.
Range: 12050 to 12450
Type: On balance bullish