Europe:
The Sigma Whole Europe Index continues to rebound. Action remains volatile but the 'abc' pattern remains valid. We continue to believe recent decline was in 5 waves (and not 3) => wave A.
So current rebound should be in 'abc' => B
And then we should have another 5 waves decline in order to end the correction => C.
The alternative is that recent decline described a complex 3 waves pattern and the correction is already over.
The Sigma Trend Index increased to '2' and both the Swing and the power Level were neutral at '3'.
United States:
The Sigma Whole Market Index is close to the top of its trading channel. Both the S&P500 and the DJI are close to their previous tops.
The Sigma Trend Index rose to '10' and the Swing was at '4, telling us the move was rather impulsive.
The ST model uplifted its stop on the IBEX from 11186 to 11207
- 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: stopped
- EuroStoxx50: stopped
- DAX: stopped
- IBEX: theoretical long at 11424.7 (stop @ 11207, 10pts below the ST model to take into account bid/ask spread)
