FRA40 trade ideas
France CAC40 - Sep'16Equities across the board coming off today... with S&P dipping below 2100.
Anticipating a break below 4420, which would put it in buy territory.
CAC should continue up passed the trendline during next yearCAC should continue up passed the trendline during next year
(H1) CAC40 AnalysisPrice is heading towards 4600 @ the daily 0.5 fib paired with an important structural SRLev and R2. We have a WW(Wolfe Wave) Setup. If price reaches these two levels above the trendline or at least touching the upper trendline, I will go short. If price touches the X point of the 2 trendlines (blue vertical line) at a retest I will also go short.
triangle formation to 4570triangle formation to 4570 then drop the sharp line time to buy bx4 beginning of 2017 ;)
CAC40 : The rounding tops show a bearish momentumThe CAC40 is consolidating between 4300 and 4520 pts since the middle of July. The US indices are currently showing weaknesses, and so does the french equity market.
The resistance area at 4550, doubled with the other one at 4520, definitely constitute a barrage for the buyers to go higher. The bearish forces are getting a bit stronger as weeks pass, as shown by the rounding tops. The long term moving average (200 days) remains decreasing, which highlights the downside underlying trend.
The first steam to break is the ascending trendline (blue). The current price at the CAC40 is high enough to initiate a short position :
- Short @ 4460
- Target @ 4315
- Stop @ 4520 (just above the first resistance)
Short at levelReason for trade idea:
1. Very strong reversal level
2. Price ranging
If the trade doesnt work out at this level then Ill look for short at the weekly level. If that breaks then Ill be looking at longs.
CAC 40 and the world: the End soon after the short at 4700August 31, 2016
Everything is on the chart. It is very precise and you may doubt that it's feasible I know. The lines are not random, they correspond to very specific levels (4700 -> 4450 -> 4500 -> 4280/4310 -> 4450 -> 4084 -> 4300 -> 4090 -> 4180 -> 4084 -> 3709 -> 3904 -> 3556 -> 3477 -> dead cat bounce -> 3050/3100
I would go long now until 4700. Some bad resistance will have to be taken away at 4600 and 4666.
It will drop from 4084 to 4709 in a single week. Probably in summer 2017 (August here). The ultimate target is around 3050-3100. Then I would go bullish until 4450 (May June 2019) then reshort a bit. We shall see !
CAC 40: We have all the long term targets below the short @4700August 28, 2016 (Post Yellen's speech)
Everything is on the chart. You know that I am willing to short strongly at 4700. Resistance shall be met at 4600 and 4666. Those would become other very good scalping opportunities for the experienced ones. Don't forget the Bearish Gartley Pattern and the long term Head and Shoulders pattern (not traced on the picture, cf previous posts).
It should fall quickly to a strong area at 4450. It could bounce to 4500, another psychological level. But then they would shorting until 4383, resistance will be futile although it's an important level. The CAC 40 shall quickly further its downtrend until 4280-4310. It another crucial level to hold, but it will ultimately become a dead cat bounce. It should become erratic between 4000 and 4300. But hey, after it goes through 4000-4004, there would be a huge drop of 300 points in a single week. It would go up again because of short covering, and then fall to 3556 and 3477. Speculators and some funds would find it an interesting opportunity to buy, since they would believe it's low enough. But some final strings of predictable "bad news" would sign the final blow to the markets. It would collapse sharply until 3050-3104. People would freak out and more stop-loss orders could be triggered. It would go even a bit lower (it's the "visible" crisis, what do you want?)
Infamous Bearish Gartley Pattern + Head and Shoulders: CAC 40 August 25, 2016
Everything is on the picture. You know the "real" crisis is soon.
The target is confirmed to be around 4700: The Head and Shoulder pattern (see previous articles) and this ... bearish Gartley Pattern along with Fibonacci and Elliott Waves confirmations are simply killing it. Wow.
Revamp: CAC 40 target 4700? Pre-US GDP and Janet Yellen's speechAugust 25, 2016
Hello folks, so I have mentioned several time the target of 4600 and 4666 regarding the CAC 40. I guess it will be made possible tomorrow Friday thanks to the GDP figure (rigged?) and the subsequent speech by Janet Yellen. However, regarding this week's erratic and incessant fights between bears and bulls to keep 4383 safe, I have set a new potential target that might change slightly the game. I finally understand why it took that much time: my original targets could have been wrong. But now ... after some tweaks, the real objective becomes:
CAC long until 4695-4700 is now a more than possible objective. I think there could be selling pressure from both 4600 and 4666. Then I would become extremely bearish and go short the crisis.
Here is a slightly messy picture from the CAC 40 (daily chart), but people who followed my previous articles would certainly understand what I wanted to pinpoint here.
My bias for FRA40 has changed to bullishReason for bearish view:
Preceding uptrend on the hourly
Strong level at 4440 with many reversals.
Price has broken this level and pulled back to test.
I missed the trade but my bias is now bullish.
Short Europe - CACShort risking June'16 high. The ECB, FED and all other central banks are superficial inflating and doing all they can but the world is in disarray and needs a breather.
