Welcome to EV's point and figures. This blog is dedicated to the use of point and figure charts in technical analysis.

Although P&F first appeared in charts in the 1930's, it is an often overlooked techique for analysing stocks and charts. A poor relation compared to line and bar charts and their range of momentum indicators. Yet few charts provide a clearer picture of the daily battle between bulls and bears for market control.

Like most methods, it should not be used in isolation. It should form part of an analysts 'tool box' and be used with other techniques to help form an overall view.

The charts that appear on this blog and any accompanying comments are purely for information purposes only - my own personal take on where the prices may be heading. They do not constitute investment advice.

Wednesday, April 20, 2011

FTSE 100 - possible inverse H&S?

This warrants close attention. It's not supported by the P&F but the RSI and Slo Sto lend support to what could be a forming inverse head and shoulders pattern, one which would take the FTSE up towards 6,500-6,700 in some sort of 'euphoric-last-40-days-of-Fed-QE2-ramp-job'.

Could it happen? Well, the P&F charts clearly show that we have had three short term c500 point moves in the FTSE in the last 8 months, so why not?
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1 comment:

  1. SpecMay 17, 2011 at 6:08 AM

    there is not such a think as IHS at top!!!go figure

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