#Gold #SP500 We’ve never experienced movement on the markets quite like those currently. It’s not just a UK Brexit thing, irrational and illogical appears the order of the day throughout Europe and the USA. We’re asked, almost daily, ‘are the markets about to suffer a correction?’. For quite a while, we were confident this was going to be the case but in the last few days, the FTSE managed to stagger above 7384 points. This is supposed to be a key signal of movement into relative safety.
We’re not sold on the prospect of continued growth on the FTSE and equally, we’re now less convinced things are about to fall apart. When last reviewing Barclays, we postulated 157p as a target, along with a return to relative safety. On 13 September, it finally achieved our 157p, actually with a day high at 157.12p. Before becoming too excited at our target being bettered, the day high was achieved 14 minutes before the end of day bell. Worse, the share price rapidly receded as if scalded, spending the next few weeks just messing around messily. It results in the situation where we’re nervous. Our target was minimally exceeded and we’re not sold on the prospect of 0.12p being relevant.
The situation now is slightly interesting as above 154.5p is supposed to generate recovery to 161.6p next. If bettered, secondary calculates at 177p along with very probable hesitation. There is, however, another factor to consider.
As the chart insert shows, once Barclays hit out 157p, the price retreated and in the period since, assiduously remains below Blue on the chart, the ruling downtrend since 2018. This is not a great signal as the price remains solidly in a zone with 112p exerting attraction. Currently, below just 144p suggests weakness coming to 136p next. If broken, secondary is at 112p and “hopefully” a proper bounce.
We’re vague in drawing conclusions, simply because the markets are not giving a sense of true direction. Things could break upward, just as easily as the could break downward. An example of how ludicrous things are came from Gold. Last night we’d given a “slow” drop target at 1464, not really expecting it anytime soon. At present, Gold is supposed to be a useful contra indicator for the index’. As folk who follow Gold will note, it broke our 1490 trigger and bounced at 1464 on a day the index’ were mucking around doing nothing positive.
Go figure!
|
Time Issued |
Market |
Price At Issue |
Short Entry |
Fast Exit |
Slow Exit |
Stop |
Long Entry |
Fast Exit |
Slow Exit |
Stop |
Prior |
|
10:16:21PM |
BRENT |
59.38 |
‘cess | ||||||||
|
10:18:32PM |
GOLD |
1473.63 |
1464 |
1461 |
1436 |
1488 |
1475 |
1476.75 |
1481 |
1467 |
Success |
|
10:20:21PM |
FTSE |
7423.91 | |||||||||
|
10:27:44PM |
FRANCE |
5670 |
‘cess | ||||||||
|
10:29:44PM |
GERMANY |
12449 |
‘cess | ||||||||
|
10:31:41PM |
US500 |
2983 |
2962 |
2948 |
2933 |
2979 |
2986 |
2994 |
3010 |
2963 | |
|
10:33:26PM |
DOW |
26987 | |||||||||
|
10:43:03PM |
NASDAQ |
7763.72 | |||||||||
|
10:44:37PM |
JAPAN |
21863 |
Shambles |