Santa Barbara County, one of the more affluent areas of Southern California, suffered from devastating mudslides which so far have killed 17 people and another 17 are missing following Tuesday’s heavy downpour, Reuters reports. Highway Route 101 running north-south is closed and not expected to reopen until next week. In Montecito, the homes of Ellen DeGeneres and Oprah Winfrey were affected. This week’s damage is believed to have been exacerbated by last month’s wildfires.
Reuters also reports that the Saudi Arabian stock exchange is tweaking rules in order to make it easier for foreigners to invest there. It might also be linked to the proposed partial flotation of Saudi Aramco. In London, the Intercontinental Exchange will shift several commodity derivatives over to their US operations in order to avoid Mifid II regulations as they will be regulated by the US CFTC.
DAX 30
Failing for a third time between 13300 and 13550 with a variation on a bearish engulfing candle. The commodity channel index has turned bearish on yesterday’s close.
SHORT TERM TRADER: New short at 13290; stop above 13550. Target 12900.
POSITION TAKER: Square.
FTSE 100
Inching to a new record high thus keeping bullish momentum steady.
SHORT TERM TRADER: Square.
POSITION TAKER: Long at 7681; stop below 7645. Target 8000.
S&P 500
A little dragonfly doji yesterday has kept the grotesquely overbought situation intact.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
Small jitters yesterday on what today has been labelled ‘fake news’ and they scurry to buy the Japanese yen which reached its strongest close since the beginning of December.
SHORT TERM TRADER: Long at 1.3540; stop below 1.3470. First target 1.3800.
POSITION TAKER: Square.
EURO/US DOLLAR
Odd price action yesterday with a surge around 10:30 GMT, ending up as a shooting star candle (which is bearish) and falling bullish momentum.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
GOLD
Another one with a strange surge around 10:30 GMT that does not really make sense.
SHORT TERM TRADER: Short at 1314; stop above 1335. Target 1270.
POSITION TAKER: New short at 1317; stop above 1360.
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.
