Rollover already, was FTSE Jan just a warm-up for Feb, ratio table, levels and comment.

FTSE Jan to Feb Rollover 14th Jan 2019

Well it certainly has been a nomadic zone for the Jan expiry in the FTSE.

In fact, it has changed every time we have commented, which is actually a reflection on how very low the already minimal Y level of ratio really is.

This then has led to the fact the zone could be anywhere from 6650 to 6900.

Of course, this expiry we have already plumbed the depths of 6536.53 where it took a colossal effort by R3, then at 6550, to turn the tide.

We did mention, that on the flip side, resistance may be more sensitive, and we have already seen this market test R1 at 6950.

Now, this index is tantalisingly close to its zone, and with just two days to go to the rollover it will be a very nervy time.

Range:            6900  to  6950

Activity:          Poor

Type:               Neutral

We look at the calendar every day but still the fact it’s the rollover already comes as a surprise.

Doubly so as it has been a very hectic start to the year already.

Therefore, we suspect, a bit like us, many participants have been blindsided as this must be the poorest representation of ratio we have ever seen in the FTSE.

Of course, with March just around the corner, then it will not be helped with many sitting on their hands as well.

When you couple this with the fact this is the first, of only four, intermediary to intermediary expiries, then this just compounds the lack of ratio.

So, what we say above, about a nomadic zone, then this expiry is not going to be any different.

In fact, if, and that is a very big if, this index suddenly develops a degree of sensitivity, then it might just trade within the Y ratio bandwidth.

However, when one realises that this bandwidth is 650-points wide then one will also realise that R1 will be very hard pushed to reverse a market that has that much momentum behind it.

And so far, that is pretty much as high as it goes, scarily.

Seems like the Jan expiry was just the warm-up act for this the Feb expiry.

Range:          6750  to  6950

Activity:        Average

Type:            Neutral

January 14th, 2019 by