FTSE and DAX Ratio Table 26th Jan 2018
Well we hope you saw our last post in the FTSE as we left it having got as high as 7791.83 and in the Feb expiry R3 was then at 7800.
The Feb expiry is now a week old and although the zone is up slightly (and R3 is now at 7850) we are unsurprised to see the market now back safely within it.
The only question now is whether it will be happy staying inside its zone for the remaining 3 weeks of this expiry, or get aggressive again, and if so, in which direction?
Yesterday’s low was strike 1 of the bottom zone boundary and this expiry high (Tue @ 7745.22) was a test of R1, and all the other levels you need are in the table above.
Range: 7600 to 7700
We left the DAX with it performing a NZ bandwidth test on the actual rollover having bounced between the two R1 levels, covering an impressive 700-point range, 1400 there and back, completing the perfect expiry.
The high in this expiry was 13596, also on Tue, which is very close to the R1 level here, even if it actually wasn’t 13600 on the day.
Today it is back safely inside its zone, just like London, the trouble is the other corresponding R level is still a very long way away, and in-between just the minimal Y1 to make matters worse.
The good news is that the jump up at that level is quite the proverbial ratio mountain, but exactly what we say in the FTSE applies here, even down to strike 1 on the bottom boundary, with the low yesterday of 13222.
Range: 13250 to 13350