DAX 30
Consolidating in a right-angled triangle for a sixth consecutive week and still terribly overbought.
SHORT TERM TRADER: Tiny short at 12654; stop above 12900. First target 12300.
POSITION TAKER: Square.
FTSE 100
Bit of a knee-jerk reaction Friday so that the index managed to hold above long term trend line support but formed a hanging man candle on the week. The MACD is still not terribly bullish and political and retail confidence is weak.
SHORT TERM TRADER: Small short at 7542; stop above 7600. Target 7300.
POSITION TAKER: Square.
S&P 500
A massive dragon fly doji on Friday after what had been a tiny weekly range. Today the MACD looks set to turn down adding to the uneasy feel to this chart.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
A brief reprieve on Friday but not looking good today. Friday’s close below horizontal support which has also capped this morning serves, for the moment at least, to put a lid on the matter.
SHORT TERM TRADER: Square
POSITION TAKER: Square.
EURO/US DOLLAR
An inside week as the market tries to get used to these new higher levels.
SHORT TERM TRADER: Square.
POSITION TAKER: Small long at 1.1280; stop below 1.1100. First target 1.1550.
GOLD
As we had thought on Friday once again the move above trend line resistance has ended up as an extension and false break, confirmed by the weekly shooting star candle.
SHORT TERM TRADER: Small short at 1271; stop above 1300. Target 1220-1230.
POSITION TAKER: Square.
MORE FROM NICOLE ELLIOTT...
Nicole Elliott is a longstanding Member of the Society of Technical Analysts and provides the IC's trading coverage. She is regularly interviewed and quoted by the financial media, is a conference speaker and author of several books on charting.
