FTSE and DAX Ratio Table 2nd Nov 2017
The FTSE managed a daily range of 45-points so it is certainly getting better, but just to highlight what we have been saying this week, the close on Monday was 7487.81, spooky or what.
Obvious the contrast between these two indices couldn’t be greater, with the CAC on London’s side funnily enough, but it did make us recall the headlines of the other day about London losing 75,000 Banking jobs, so it looks like we now know where they are going to go.
There has actually been a change in the ratios today with DR below the zone strengthening slightly, but activity sort of says it all and we still see this index as a writers’ one.
Range: 7350 to 7450
We certainly didn’t see that coming in the DAX, or did anyone else that we know of.
We fully expected it to go past R1, which yesterday was at 13300, as that was on strike 3, but not R2, which was then at 13350.
The fact the market opened up 113-points at 13342, right on R2, and was past it in a blink, which put it in clear skies.
Once it was past there was nothing to stop it, and although today the ratios have slipped a bit the market still remains above the new levels.
The only thing we can add is that it may get like the NDX and treat this as “uncomfortable” (NB here the multiplier is 50-points) but if this level of aggression remains there is no ratio left to get in their way.
Range: 13400 to …..
Type: On balance definitely bearish