EURO STOXX 50 index review | 17 November 2017

EURO STOXX 50 index review
EURO STOXX 50 index review

Wave Analysis:

Despite breaking above 3683.3, this index pulled back lower than expected and lost almost 98% the value it gained last week. This is an extreme drop and indicates a possible rise in the number of sellers in this market. Thus, during this week, we expect further momentum to the lower side but only after a pullback to the upper side. If you're not short , you could wait for a clear breakout below the support line 3595.7,  then pick a short position towards. As it is on the daily chart above, I advice waiting for a clear direction:
Trade Signal
Flat  
Bitcoin retracing
EURO STOXX 50 index review
 
Technical observation:
As I said on the previous analysis, Bitcoin pulled back downwards, and could still plummet this week. I expect further decline in price towards 5452.3 or even lower to 4864.73 where I'll be looking for a buy position. As it is on the daily chart above, only a buy position can be recommended but only after a bounce from the daily support zone 5452.3-4864.73. If this supportive zone can clearly be breached, then further decline towards 3337.97 is expected. My advice, remain flat fow now and only buy a bounce from 5452.3-4864.73 with your take profit at 7336.5.
Trade Signal.
Flat for now
ASX Review
EURO STOXX 50 index review
Technical observation:
Last week, SP/ASX 200 index traded with an extreme bullish bias and even broke out above the resistance line 5995.1 with a big green candle. This a bullish dominance signal, and unless the price gets back below 5995.1 with big red candle, (similar to the one it broke above with), I expect a rise to the upper side with an ultimate target at 6135.3. In the meantime, I'm patiently waiting for a pullback to the just broken line to the pick a low risk buy position towards 6135.3. If you are not long already, you could wait for this pullback.
Trade signal
Wait and buy ASX around 5995.1 towards 6135.3

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Imelda Maseno
Analyst of «FreshForex» company
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