FTSE and DAX today’s ratio levels and comments

We said yesterday in the FTSE that the open would be crucial and it did try, which resulted in the high of the day at 7453.22, but in the end it was just not enough to keep it in its zone.

Once below 7450 and into all that Y ratio there was nothing available to provide any support, but what we also said yesterday was the distinct possibility of 7350-7450 being the next NZ.

Coincidence or not but we couldn’t help but notice that the low was 7357.50 and of course we mention the high above.

It is perhaps also worth mentioning that the auction added a massive 17.82 points to the real time close, so being in the middle of a 200 point Y ratio bandwidth only means more days like Monday to come.


Range:            7250  to  7450

Activity:          Strong

Type:              On balance bearish



About mid morning the DAX went down to R1 and had a very solid test of it at 12150, getting as low as 12142, but it was the 20 or so minutes it spent there that was the real yardstick rather than the depth of penetration.

Certainly this index is not out of the woods yet but it was a very convincing rally which even held its nerve when the Street looked weak, not to mention what was happening in London.

Activity remains high but surprisingly no change in any of the ratios, but what there is now has far greater depth.

We feel the issue is now not here but rather what will happen in the US and if the DJX especially will upset their particular apple cart.


Range:            12150  to  12450

Activity:          Very strong

Type:              On balance bearish

July 25th, 2017 by