Trends and Targets for 31/10/2018

Royal Bank of Scotland #CAC40 #Sp500 Our last review in August against #RBS proposed a drop target initially at 231p. Secondary, when broken, came in at 220p. It was to take near two months of excruciatingly sluggish moves until the target was achieved. To our surprise, the share has actually bounced from our 220p!

We’ve a bit of a problem with this rebound, the share requiring any movements now to exceed 235p to trigger some recovery to an initial 242p. The key element shall come, if 242p is bettered as this justifies ongoing recovery toward an important 248p.  At present achieving 248p will serve to recover the price above the uptrend since The Brexit Vote and again into the realms of illusory safety.

 

As always, we have doubts.

 

It’s important we acknowledge our drop target at 220p was not actually broken, this perhaps arithmetically presenting an approach to 242 as possible. But unfortunately, the bigger picture remains warning of weakness below 220p generating travel down to 212 initially with secondary, if broken, at a “must bounce” level of 204p. Of course, there can never be a certainty any bounce shall prove long lived, thanks to any fraction below 204p signalling 187p and below for the future.

In summary, while the share is indeed exhibiting a bounce, we’ve considerable doubts thanks to the attention paid to the RED Brexit uptrend. Essentially, we still suspect 204p shall make an appearance eventually.

Chart goes here

 

FUTURES

Time Issued

Market

Price At Issue

Short Entry

Fast Exit

Slow Exit

Stop

Long Entry

Fast Exit

Slow Exit

Stop

Prior

9:24:16PM

BRENT

76.23

Success

9:25:55PM

GOLD

1223.6

‘cess

9:27:36PM

FTSE

7079.22

9:29:11PM

FRANCE

5020

4954

4946.25

4902

4995

5020

5053

5095

4962

9:39:39PM

GERMANY

11375

9:41:09PM

US500

2684.67

2630

2613.5

2588

2673

2690

2710

2746

2630

9:43:39PM

DOW

24898.3

9:45:26PM

NASDAQ

6825.75

9:47:57PM

JAPAN

21661

‘cess

 

 

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