STOXX Banks for a friend overseas …UPDATE to the UPDATE
08/05/2017 – recent strength appears to want to take out the 139.67 high. However, the key levels still remain as shown below. A DAILY CLOSE above 144.28 will make me rethink scenario below. Hope this helps …
07/01/2017 – STOXX banks rallied into the target zone to keep the triangle (monthly) thesis alive. key levels indicated below on STOXX Banks and also the STOXX / US Banking Index. Hawk these levels for strength or weakness.
Be well my friends … Bart
the KEY here is are we finishing a triangle and this latest leg up represents the final sequence (e) of a,b,c,d,e … the relationship that is giving me a ‘hint’ that this might be the case is the fact that the e is representing .618 of b-c (a common relationship in triangles) on the charts, that is the green line w/ .618 to the right of the green line.
also the ratio of SOXX banks / US Banks is presented. just because a sector might outperform on a relative strength basis does not mean it will go UP because it’s outperforming. in this case, it could mean it goes down slower … or, this move up is complete and US banks to outperform. however, because of the long term downtrend in STRENGTH of STOXX vs US Banks would monitor this closely. A continued increase and movement in STOXX vs US Banks ALONG with a consolidation or a breakout of the blue shaded box shown on STOXX Banks charts could mean important and notable strength has developed. Monitor the ratio for clues ..
Hope this helps and thanks for asking and visiting the site .. let me know if you have any questions.