Europe:
The Sigma Whole Europe Index was in a consolidation mood on Monday. Looking at recent action, it seems the 'b' wave is underway. If this count is right, another upleg should occur in coming sessions (followed by another sharp correction).
The volatility of European volatility continues to rise and this is something to monitor.
The Sigma Trend Index is right on its zero line and it will be interesting to monitor what happens from here: will it be able to move and stabilize in positive territory or will it fall back in negative territory?
Both the Swing and the Power Level were neutral at '3'.
United States:
The Sigma Whole Market Index remains in its trading range. Nevertheless, looking at Monday's candle, we can notice the price action was rather bearish on the SP500, Russell 2000, DJI, DJT, ...
This is not a good sign for coming sessions.
The Sigma Trend Index declined from '13' to '3' and remains in positive territory. Both the Swing and the Power Level were neutral at '3'.
There is no change in our daily trading book.
- SPX: long at 2107.53 (stop @ 2042, 3pts below the ST model to take into account bid/ask spread)
- NDX: long at 4236.28 (2014's close) (stop @ 4340, 5pts below the ST model to take into account bid/ask spread)
- CAC: long at 5042.73 (stop @ 4958, 5pts below the ST model to take into account bid/ask spread)
- EuroStoxx50: long at 3623.29 (stop @ 3553, 5pts below the ST model to take into account bid/ask spread)
- DAX: theoretical long at 11709.7 (stop @ 11407, 10pts below the ST model to take into account bid/ask spread)
- IBEX: theoretical long at 11424.7 (stop @ 11186, 10pts below the ST model to take into account bid/ask spread)
