EURO STOXX 50 forecast timing analysis by Supply-Demand strength21-Jun
Stock investing strategies TVC:SX5E
Investing position about Supply-Demand(S&D) strength: In Rising section of high profit & low risk
Supply-Demand(S&D) strength Trend Analysis: About to begin an adjustment trend as a upward trend gradually gives way to a slowdown in rises and falling fluctuations
Today's S&D strength Flow: Supply-Demand(S&D) strength flow appropriate to the current trend.
View a Forecast Candlestick Chart Analysis of 10 days in the future: www.pretiming.com
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D+1 Candlestick Color forecast: RED Candlestick
%D+1 Range forecast: 0.1% (HIGH) ~ -0.7% (LOW), -0.2% (CLOSE)
%AVG in case of rising: 0.8% (HIGH) ~ -0.2% (LOW), 0.6% (CLOSE)
%AVG in case of falling: 0.3% (HIGH) ~ -0.8% (LOW), -0.4% (CLOSE)
Price Forecast Timing Criteria: Price forecast timing is analyzed based on pretiming algorithm of Supply-Demand(S&D) strength.
Stoxx50
BRUTAL: US vs EU stock market comparison.This is no news to anyone who follows the stock market but this is just to put it in perspective how bad the EU is doing.
The euro is lagging, getting close to parity with the dollar and the stock market in Europe has gone nowhere for decades.
If you took all your money out of the Eurostoxx in '07 and put it in the S&P you would have had 3,5 times as much if you had held on.
You would have doubled your money even if you made the decision at the worst point prior to this decade.
The EU is a sinking ship and rapidly declining to 2nd world economic minipower.
Megalomaniacs try to desperately band Europe together with stitches claiming to make the EU relevant on the global stage.
Well they are failing, meanwhile Australia, New Zealand, Israel, Norway, South Korea and many others are proving that you do not need to be big to grow fast.
The election is in May, throw the bums out.
Absolute failure.
Euro Stoxx 50 approaching resistance, potential drop!Euro Stoxx 50 is approaching our first resistance at 3261.7(horizontal overlap resistance, 50% Fibonacci retracement ,100% Fibonacci extension ) where a strong drop might occur below this level pushing price down to our major support at 3090 (50% Fibonacci retracement , horizontal overlap support)
Stochastic (89,5,3) is also approaching resistance where we might see a corresponding drop in price.
Stoxx50 Reversed Off Resistance, Potential Further Drop!Stoxx50 reversed off its resistance at 3281 (61.8% Fibonacci extension, 38.2% Fibonacci retracement, horizontal overlap resistance) where it could potentially fall to its support at 3196 (horizontal swing low support).
Ichimoku cloud shows signs of bearish pressure that contributes to our bearish bias.
Eurostoxx is showing signs of breaking downLast week I was cautiously optimistic that the EuroStoxx would move higher to 3500, and possibly break from there to complete the mini (inverted) head and shoulders that can be identified since the 30th October 2017. However this week's action adds to a more bearish, alternative path.
The blue support zone is a loosely defined price range of significance; this area has repeatedly acted as a support over the last 12 months. Since the January 2018 correction, all subsequent rallies from this range have failed. The index is now for the sixth time in this blue support zone. Moving averages, RSI and price are all negatively aligned.
Today's price movement is also completing a head and shoulders pattern that has developed since January 2017.
SX%E - Long term bearish outlook - 300 point drop!Very bearish market geometry on display in the Euro Stoxx 50 chart. Bearish are certainly in control with bulls failing to create new highs this years and also a recent failed to re-enter the trading range.
P&F count for this one brings us down the 3100, this ties up nicely with a the previous horizontal resistance developed in 2016.
Good luck!
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EuroStoxx below 3410/05 risks a slide to the May low at 3385/80EuroStoxx below 3410/05 risks a slide to the May low at 3385/80. A break below the 50% Fibonacci at 3374 targets 3366 & 3359/55.
Holding 3410/05 allows a recovery to 3428/30 with strong resistance at 3439/42. Shorts need stops above 3450. A break higher meets strong resistance at 3461/64. Shorts need stops above 3470.
Spanish politicians reduce yield % of IBEX 35BME:IBC FX:ESP35 BME:IBC
Fear, unconfidence, uncertainly and anothers negative sentiment have come back?
Since 2016 we seeing a negative spread between Spanish index #Ibex35 and another European indexes like DY1! #Dax30 FX1! #EuroStoxx50 FY1! #Stoxx600
December 21st, 2015 starts the negative performance of the index (Starts RED BASELINE on daily chart), one day after the mixed results in that first elections.
Almost one year to elect a Mariano Rajoy as a president after many elections and hours to discuss to "nowhere" in parlament congress, finally October 29th 2016, Rajoy got the votes to have investiture.
On 14 June 2017, FIRST motion of no confidence in the government of Mariano Rajoy requested by Podemos after a string of corruption scandals, was defeated 170 to 82, with PSOE abstention.
Then came the Catalunian crisis on second semester of 2017 and STILL continues, with many former funtionaries in jail, anothers in exile like Carles Puigdemont former Catalunian's president of Generalitat.
Finally on 25 may 2018, SECOND motion of no confidence requested by main oppositions party (PSOE)... starts a new political crisis increasing the negative performance reaching maximun levels again...
Adittionaly, context may not help= Italy case, bonds, ECB politics, debt, euro weak...
www.bloomberg.com
www.bloomberg.com
STOXX 50 DAILY LONG 2618 Very good high probability setup for change in direction. Strong level of support. RSI oversold with divergence and last leg sign of a retracement. Bears couldn't break lower that lever last week. If Italian election ends well and Merkel do her job for Germany things might go pretty well.Relatively cheaper equities in EU makes me think 2018 EU may overperform US indices. Will see. Expecting appreciation further of the EUR. 2:1 RRR. DAX CAC BEL will tell the story. Good Luck
Is europe due to outperform american stocks for a while?Based on numerous conditions: CFTC euro dollar extreme values (long crowed), CFTC dollar index extreme values (short crowed), german bonds 2y/10y vs us 2y/10y bonds spreads, american and europe inflation divergences (5y5y swaps), quantitative tightening (america fed hikes) vs esasing (europe ECB bond purchase), trump fiscal dollar multinational repatriation (buying dollar and sell other currencies) ...
The New EraThe chart above highlights the change in correlation between the STOXX50 and the S&P500 over the last decade. Interestingly there have been considerable falls in the correlation coefficient in 2012 and 2018. Are we in a new era where global markets are detached? Trading Forex / CFDs is High Risk.
ESA: Potential CD leg forming for +9% This is further to my earlier post on ESA: Make or break it. Since then the ESA has broken down from the continuation wedge and appears to have found support on the 200-DMA which coincides with a 78.6% retracement. Given the heavy data dump coming out this week and the US heading in earnings season, I would play it on the safe side to close shorts and look for spec longs. My view is also colored by the fact that the Stoxx 50 and Stoxx 600 are also sitting on trend line support as with some of the major tech names which I have highlighted as potential shorts.
The 1Q data dump and earnings should be relatively strong given the underlying economy is doing well and the recent protectionist actions taken by the Donald will take time to flow through the hard data. Do note, this is a tactical call. The overall set-up is still negative as previously mentioned, the mismanagement from the Donald WILL eventually flow into the data and of course, an xABCD pattern which I am describing here is a reversal pattern.
SX5E: Potential downside to 3100The SX5E is a much narrower index relative to the Stoxx 600 (check out my earlier post) but you get the same bearish conclusion. The SX5E is constrained by a major downtrend line marked by the 2007 and 2015 market tops, it is building somewhat of a expanding megaphone pattern over the last year and a massive MACD divergence from the price action. The last major down swing in Europe lasted for 1 year and I would imagine this down swing to be no different. This year is turning out to be a real dog.
STOXX 50! GOING LONG?!Going long on ''STOXX 50''
If prices break through our key level at 3475.0, we could see a bullish run up to highs of 3575.0/3625.0.
A solid break through our key level, will indicate to me that our targets aren't far-fetched and actually could be attained. Also we could get an opportunity to short this for the equivalent appreciation, which is really good!
Stoxx 50 / SX5E - Short Long Term - Up to 1000 Pips OpportunitySX5E seems to not be able to get into a reversal phase yet. If the current support does not hold, we can expect it to fall further below.
However, if the support holds firmly, then the opportunity is lost.
I will keep an eye on it as it does seem to be weak at the moment and open a position at the right time.
Expect to keep it open for at least a week.
Happy trading!
EURO STOXX 50. Sell on breakdown. Target 2655This could be a large WXY flat correction.
We are in the last Y wave down.
It could be a hefty gain.
Target at 2655 level is the minimum.
I like European indexes clean charts and ideal touch points as you could see in the EURO Stoxx 50 here.