The FTSE recaptured 7650 yesterday and we have to hold our hands up as we neglected to mention that it had fallen so much it was just clinging on to the R2 status.
This leaves our step-up level, 7700, as the remaining R2 representative.
However, the ratios are weaker across the board today, so we see the return of Y2 below the zone for example.
More importantly our step-up level is more of a rung now, but it is still R2 which is still very aggressive for an intermediary expiry.
Range: 7600 to 7700
The DAX has to be one of the most spectacular bounces off R1 we have seen recently.
From the low of 12745, and for the purists a drawdown of 5 ticks on a twelve-thousand-point index is literally nothing, to a high of 13023.
That is 278-points, wow just about sums it up.
Although across two days, in reality it was just about 24 hours from low to high.
Admittedly our target would have been the bottom boundary of the zone, but if riding the wave with a tight stop then the upper boundary would have been the target.
Now it is back in its zone will we have to wait for another bandwidth test is the only question?
Range: 12950 to 13050
Activity: Very poor