Trends and Targets for 18/06/2018

The FTSE this week (FTSE:UKX) One of our leading mantra’s is to drone on about “lower lows” and similar harbingers of misery. With the FTSE closing last week at a pretty dismal sounding 7633 points, there’s certainly a fairly reasonable argument favouring a trashed market ahead.

Or is there?

The “low” on the 15th was obviously lower than the prior day but when we view a slightly bigger picture, the index actually needed close below 7632 (May 29th’s close) to justify tinfoil hats. When we see this sort of nonsense, it’s easy to suspect some effort has been enacted to avoid a coming calamity, one where weakness now below 7607 points can expect travel to an initial 7495 points, a fake bounce, then further dramatic falls to 7360 points.

Actually, in the grand scheme of things, such reversals are not terribly frightening as the movements come nowhere near to troubling the uptrend since 2016. We do actually suspect some sort of market reversal to be on the cards, if only to generate sufficient heat to power some future upward travel (We’ve not forgotten mentioning 10,000 points last week!).

If adopting the stance of the drop on Friday 15th being a bit overcooked, the market now requires better 7705 points to convince us as this should prove capable of a miracle recovery toward 7750 points initially with secondary, when bettered, at 7790 with the implication we need once again stir the tea leaves due to the index challenging the immediate BLUE downtrend.

The fly in the ointment, as usual, comes from the buzzing sound around the corpses of the three UK retail banks. Collectively, they all managed to sleepwalk into a period expecting some reversal and as fairly large FTSE components, their misbehaviour is liable to trouble the index.

Chart goes here

 

FTSE Closed at 7633 points. Total value traded through LSE was: £ 13,127,209,955

FUTURES

Time Issued

Market

Price At Issue

Short Entry

Fast Exit

Slow Exit

Stop

Long Entry

Fast Exit

Slow Exit

Stop

Prior

10:08:51PM

BRENT

72.87

72.66

72.07

71.05

74.73

75.77

76.87

78.27

74.65

Success

10:11:09PM

GOLD

1280.07

‘cess

10:14:06PM

FTSE

7661.45

10:16:25PM

FRANCE

5519.7

Shambles

10:18:12PM

GERMANY

13060.02

10:21:08PM

US500

2777.72

‘cess

10:23:52PM

DOW

25081.4

Success

10:26:13PM

NASDAQ

7254.99

10:30:11PM

JAPAN

22804

22664

22580.5

22471

22773

22909

22985

23092

22703

SUCCESS above means both FAST & SLOW targets were met. ‘CESS means just the FAST target met and probably the next time it is exceeded, movement to the SLOW target shall commence.

Our commentary is in two sections. Immediately below are today’s updated comments. If our commentary remains valid, the share can be found in the bottom section which has a RED heading. Hopefully, this will mean you no longer need to flip back through previous reports. HYPERLINKS DISABLED IN THIS VERSION

Please remember, all prices are mid-price (halfway between the Buy and Sell). When we refer to a price CLOSING above a specific level, we are viewing the point where we can regard a trend as changing. Otherwise, we are simply speculating on near term trading targets. Our website is www.trendsandtargets.com.

UPDATE. We often give an initial and a secondary price. If the initial is exceeded, we still expect it to fall back but the next time the initial is bettered, the price should continue to the secondary. The converse it true with price drops.

We can be contacted at info@trendsandtargets.com. Spam filters set to maximum so only legit emails get through…


Section One – Outlook Updated Today. Click here for Section Two – Outlook Remains Valid shares

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