Now it gets interesting for the FTSE

Nb. Our comment from the 08/21/19 (Not Published)


Range:            7050  to  7150          

Activity:          Average     

Type:              Neutral      



Nb. Our comment on 08/27/19


As we said the FTSE, “was just the proverbial accident waiting to happen, and those who were aware of the ratio levels should have, at the very least, bought some insurance, so as not to be caught out” way back on the 5th August after the market had eventually breached R2 and went on to challenge DR and even B1 levels of ratio.

Mind you it has certainly been ably assisted by the US President lobbing more economic grenades into the mix.

Looking specifically at the FTSE the shoe is now on the other foot, and, probably because of the distances involved now, it seems that where once it used to do this in an expiry it now looks like it takes two.

So, from DR last expiry to very possibly DR this expiry.

The caveat is that this is a five-week triple expiry.

Also, the ratio alignment is very different, so R3 now kicks in at 7050, so from there on down the ratios are not to be sniffed at.

Assuming that is, a certain person, doesn’t switch from hand grenades to mortar rounds.

Anyway, at least you now know where and what the ratio levels are, and therefore a rough indication of how much futures buying will occur at those levels.

How the market reacts to this is another story entirely.


Range:            7050  to  7150         

Activity:          Very poor    

Type:              Bearish         

August 27th, 2019 by