FTSE poised and is the QE bubble finally over in the DAX, today’s ratio table, levels and comment.
two massive milestones for the FTSE last week.
bouncing off R3 which was then at 6550, with the intraday low of 6536.53, which
was at the end of 150-point fall, eventually ending down just 100-points.
was the close on Friday, being above 6700, which is back into the Y ratios.
last ratio table there have been two important developments as well.
drop in the ratios below the zone.
the zone itself being 150-points wide.
there is still considerable risk, but now we are into a new expiry, and if it
can get back above 6750, then it could become a very rapid ascent up through
the zero-ratio zone to 6900.
to 6750 or 6750
For the DAX
it was the level of activity that caught our eye, especially as they were
closed for three days last week.
end result is the ratios below the unchanged zone weakening considerably.
surprising aspect, especially considering the one-sided nature of said
activity, is the fact there has been precious little movement above the zone.
important, perhaps, is this index scraping a close just above R2.
10600 very significant, so watch any opening gaps, as 10550 is just as
significant, and therefore we suspect their next trading day may be a deciding
day for this index for the Jan expiry.
found fascinating is exactly where the DAX is now is exactly where is was when
the ECB announced its QE and literally inflated this index all the way up to
week, for us at least, may well reveal whether or not this index has at last
returned to normal.
And we say
this in full knowledge, and to repeat yet again, that because they don’t know
what they did, as they don’t see it, how on earth can they regulate it let
alone be in charge when they are the cause?