FTSE for FRIDAY 7/06/2019

#Gold  #SP500 With an interesting level of discretion, the FTSE has spent the last week scaring us silly! The problem was fairly simple. The market had broken the RED line on the chart below, moving the index into the land of pestilence, famine, dinosaurs, and rabid politicians. And then it changed…

Our thinking last week suggested a drop coming to 7106 points, something the market actually achieved on the Monday. Worse, it even broke below this level, eventually opting to rebound from 7079 points. The entire charade of reversals was played out in just 46 minutes, after the market opened for trading. In the week since, continued small daily gains now make us wonder if the FTSE just did a “gotcha” on those folk taking short positions, once they’ve assessed the competence of our countries leadership. The point at which the FTSE closed the day on Friday has tended, if we apply our usual logic, spoil any immediate drop potential.

Here’s the thing – to quote Simon Cowell. (when he struggles to find new ways to avoid saying “deluded”)

The RED line on the chart, the uptrend since the start of January, is presently at 7250 points.

Alternately, the trend from the market lows of December 2018 is presently at 7258 points.

The FTSE closed Thursday at 7259 points.

If the market were a share, we’d be inclined to regard the drop to 7079 points on Monday as “fake” and instead, opt to take a more optimistic view for immediate future.

Near term, FTSE movements above 7285 should attempt recovery to an initial 7313 points. Our secondary, if bettered, calculates at 7392 points and given the pace of market movement recently, it’s unlikely to come along at a rush. The tightest stop loss level appears to be pretty wide at 7228 points.

There are some interesting potentials if 7228 breaks at travel down to 7197 appears likely. If broken, secondary is at 7151 points.

 Finally, there is a further important facet of the recent drop to 7107. The market proved the ruling uptrend can be broken, meaning any future break below 7107 is liable to promote a swift, almost 300 point, drop to the 6800’s.

Have a good weekend; it’s the  Montreal F1 Weekend and almost time for Ferrari to ritually humiliate themselves again.

FUTURES

Time Issued

Market

Price At Issue

Short Entry

Fast Exit

Slow Exit

Stop

Long Entry

Fast Exit

Slow Exit

Stop

Prior

10:00:21PM

BRENT

62.03

59.95

59.24

   

62.18

62.445

   

10:01:59PM

GOLD

1335.99

1326

1320.5

   

1340

1344

   

10:10:36PM

FTSE

7266

7210

7200

   

7285

7312

   

10:17:04PM

FRANCE

5281

5258

5237.5

   

5335

5342.5

   

Success

10:19:44PM

GERMANY

11971.02

11893

11850

   

12012

12081

   

Shambles

10:28:22PM

US500

2840.62

2819

2807

   

2845

2851.25

   

‘cess

10:33:04PM

DOW

25700

25498

25374.5

   

25805

25853

   

Success

10:35:12PM

NASDAQ

7264.74

7199

7159

   

7294

7318

   

‘cess

10:37:03PM

JAPAN

20843

20734

20664

   

20907

20946

   

 

6/06/2019 FTSE Closed at 7259 points. Change of 0.54%. Total value traded through LSE was: £ 4,959,645,738 a change of -22.72%

5/06/2019 FTSE Closed at 7220 points. Change of 0.08%. Total value traded through LSE was: £ 6,417,553,392 a change of 4.62%

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