Masoud Barzani, President of Iraq’s Kurdish Autonomous Region, resigned yesterday. In a televised speech in Parliament he reminded that 3 million people had indeed voted for independence and must not be ignored and accused those who abandoned the fight for Kirkuk of committing high treason.
Data from Spain this morning will estimate third quarter GDP; this is expected to have grown by 0.8 per cent in the last three months taking the annualised rate to 3.2 per cent from 3.1 per cent in Q2. Of far greater interest will be whether the pro-independence Catalan leader will turn up for work in Parliament today and whether Spain’s Deputy PM Soraya Saenz de Santamaria will sit at Puigdemont’s desk.
DAX 30
Overbought on the RSI again as it manages its strongest weekly close ever.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
FTSE 100
Negligible momentum since April as we move sideways while keeping clearly above the watershed level around 7100.
SHORT TERM TRADER: Short at 7554; stop above 7570. Target 7320.
POSITION TAKER: Square.
S&P 500
A tiny dragonfly doji, almost a hanging man, weekly candle at the record high in a market that is very overbought does not inspire confidence.
SHORT TERM TRADER: Small short at 2567; stop above 2580. Target 2500, maybe 2450.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
Holding above this year’s trend line support and gaining a little support from market chatter that the Bank of England will raise rates this week. Note to self: this will merely be a reversal of the unnecessary rate cut they did in an alarmist post-Brexit referendum move.
SHORT TERM TRADER: Unfortunately stopped out of my long position for a 15 pip loss.
POSITION TAKER: Square.
EURO/US DOLLAR
Hanging on in there by the skin of its teeth. Note that momentum has turned bearish though.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
GOLD
Losing its sparkle as punters turn to Bitcoin. All aspects of this chart are pretty neutral.
SHORT TERM TRADER: Small short at 1275; stop above 1285. Target 1220.
POSITION TAKER: Square.
Nicole Elliott is a long-standing Member of the Society of Technical Analysts and has taken over 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.
