Month: October 2019

#DOW #BRENT ‘Pennyworth’, an absurd TV ’60’s drama, remains “on point”, their fictional English Queen asking how to remove the PM the same week it was reported the real Queen was doing the same. Following the Brexit vote and Boris’s leave campaign, the FTSE dropped by 550 points. Unlike 2nd Oct, that particular movement was quite artificial as the action happened in the opening seconds of the day with share prices lowered to provide attractive entry points.

This time, the FTSE feels like more relaxation’s ahead. After all, the volatility was “only” 240 points and matched sessions in both Feb & Dec last year.

The immediate bottom line is of weakness below 7119 suggesting coming travel down to an initial 7053 points. If broken, secondary is at 7027 points and a level where the index almost must rebound. If chasing a bounce from this target level, the tightest stop calculates at 6982 points, so ensure clean underwear is available!

There’s a very real problem if 6982 breaks. The market will achieve a series of “lower lows” and stumble into territory with a, hopefully, ultimate bottom intention at 6730 points. We can, of course, calculate lower but have considerable trouble reaching below 6600 points. Just for a giggle, we drew the uptrend since the market crash of 2009 and guess what, it intersects with the 6,600 ambition anytime soon. Hopefully this shall just prove coincidence.

Usually a hysterical fall such as experienced is matched by a rise the following day. Given the state of market futures this evening, we’re far from confident this shall be the case. The index closed the session at 7127 points, needing above 7154 to hint a rise may prove real. In such an event, our initial target is at 7194 points with secondary, if bettered, a more useful sounding 7238 points.

FUTURES

Time Issued	Market	Price At Issue	Short Entry	Fast Exit	Slow Exit	Stop	Long Entry	Fast Exit	Slow Exit	Stop	Prior
10:15:41PM	BRENT	57.54	57.16	56.68	54.23	59.6	59.44	60.235	61.26	58.2	‘cess
10:18:11PM	GOLD	1500.12									Success
10:31:23PM	FTSE	7106									Success
10:35:05PM	FRANCE	5421.2									Success
10:40:02PM	GERMANY	11916.4									Success
10:53:13PM	US500	2885.67									Success
10:58:02PM	DOW	26078	25960	25810	25652	26161	26236	26261.5	26362	26027	Success
11:01:04PM	NASDAQ	7545.27									Success
11:03:52PM	JAPAN	21374									Success

2/10/2019 FTSE Closed at 7122 points. Change of -3.23%. Total value traded through LSE was: £ 6,496,135,228 a change of -7.41%

#France #Nasdaq We moan, every month, when trying to write something useful about the UK’s retail banks. Now, the discovery of something worse has brought a surprising level of cheer. When a key component to mans survival fails, a sharp reminder of what’s important in life is quickly delivered. In the interests of transparency, I’ve “form” with dishwashers, recently going through two replacements in a single year!

This time, the problem was rather more than simply sharing a house with the devils machine. Instead, an ill advised attempt to clean spray nozzles completed with a disaster of broken bits of plastic. Apparently a YouTube video with instructions for Electrolux did not mean a Bendix machine was the same. Between the kitchen and computer, I forgot the make of current washer. Thoughts on Lloyds Bank subsided while trying to glue and clamp a myriad of parts together again. Finding the manual, once I’d completed damaging the machine, proved the final humiliation. It even provided pictorial instructions.

Lloyds share price, alas, is something without pictorial instruction…

When we last reviewed Lloyds (link), we proposed a movement to 54p, something successfully achieved and even exceeded. Alas, the share price is treating this target level as something important, surfing above and below the 54p level while awaiting some sort of guideline for the future.

At this point, people increasingly write “Thanks, Boris” as explanation for confusion.

All joking aside, the share price has returned, miraculously, above the long term uptrend. In normal times of sanity, this is a “drop dead obvious” signal which points at real recovery but in this case, we’re not sold. Instead, there’s a very real danger of weakness now below 53.2p leading to an initial 51p. This returns the share below the trend, allowing a secondary of 48p but realistically, if powered by negative sentiment, Lloyds could now hit 43.4p in a blink.

For Lloyds to clamber out of trouble, it needs above 54.8 as this should power an initial 57.8p with secondary, a game changing (hopefully) 61p. Alas, at present we suspect it intends 48p next.

Time Issued	Market	Price At Issue	Short Entry	Fast Exit	Slow Exit	Stop	Long Entry	Fast Exit	Slow Exit	Stop	PriorFUTURES
10:19:47PM	BRENT	59.18									‘cess
10:22:52PM	GOLD	1479.75									‘cess
10:26:26PM	FTSE	7325.79									Success
10:41:46PM	FRANCE	5586	5578	5541.5	5487	5606	5620	5626.25	5633	5581	Shambles
10:50:51PM	GERMANY	12251									Success
10:52:55PM	US500	2942.47									Shambles
10:55:02PM	DOW	26588									Success
10:56:36PM	NASDAQ	7694.6	7673	7625	7559	7736	7742	7767.5	7799	7709	‘cess
10:59:02PM	JAPAN	21678									Success

 

1/10/2019 FTSE Closed at 7360 points. Change of -0.65%. Total value traded through LSE was: £ 7,016,145,513 a change of 8.13%