R2 is FTSE first test and DAX in huge Y ratio bandwidth, today’s table, level and comments.

FTSE and DAX Ratio Table 19th June 2018

Even though we said it would be all about the close in the FTSE on Friday we still didn’t expect it to be as dramatic as it was.

The issue for us was whether or not it was going to close below 7750 and back inside its zone.

However, the problem in the end, literally, was if it could stay in its zone, as the real time close was 7648.71, right on the bottom boundary.

So, it was all down to the auction, again, and that took 14.8-points off, which sealed London’s fate, meaning it would start July in bear territory.

The fact the high on Monday was 7645.47 means strike one already, but it really doesn’t look as if it wants to go down, but other indices may have the deciding vote on that.

Range:            7550  to  7650 

Activity:          Moderate

Type:              On balance only just bearish

Despite it being a huge improvement in the ratios for the DAX it is still very underdeveloped.

Friday saw this index close at 13010, which is as close to the centre of its zone as you are likely to get on such a big index.

The only possible saving grace yesterday was the bottom boundary providing support, and with this index opening at 12945, right on it, this was a big ask.

It did manage an initial bounce, to the high of the day, 12982, but it never survived the second test, and with absolute minimum Y1 ratio underneath it was always going to struggle.

And, in a nutshell, that is going to be the problem here for this expiry as the ratios, on either side, currently only go as high as R2, which is going to be asking an awful lot of a little if the markets test them.

Range:            12550  to 12950

Activity:          Very strong

Type:              Neutral