FTSE 100

FTSE 100 trading back in the middle of its trading range post this morning's rise (the green crosses)

The 50x3 chart is less noisy but shows the current trading range very clearly.

FTSE 100: stalemate

If you strip out the Fukushima 'dip and bounce', it can be seen that there is an epic battle being fought between the bulls and bears on the FTSE 100. The bears cannot push the index below 5,875 - its found support here 6 times recently. Similarly, the bulls have failed to clear 6,100 and

6,075 has also been a major obstacle.

The more recent action might encourage the bears. See how since the FTSE last touched 6,100, the bulls have come up against resistance at LOWER levels. - at 6,025 and more recently at 6,000. In other words the buyer pressure is subsiding and the selling pressure is stronger.

$BKX

Its interesting to note that this index 'lagged' the QE2 euphoria - sure there was a bounce in Sept but the index did not really shoot higher until Dec/Jan (as denoted by that column ox X's with the number 1 in it (1 being January)). Note that that move pushed the index up towards the 56.5 target given by the initial reveral in September.

Following that move through Jan, the index has reversed and on this 0.5x3 closing point and figure chart, there is currently an active target to the downside in place of 42.

The 0.5x3 chart based on the daily high/low method is also pointing lower. Having peaked in Feb at 55.5, the move down from the top as denoted by the column of 7 o's gave a target of 45 which was activated by the next column of 0's. The bears have been successful in pushing this index lower - since April, each time the bulls came back in and moved the price up, sellers came back in at lower levels than seen previously.

SPX target 1,250 activated BUT...

Following on from last week's post and post today's price action, the 1,250 price target on the 5x3 H/L P&F has been activated (the current column of 0's) going below the previous column (of 0's).

The bears have made some inroads in recent days BUT:

* there are two minor bullish support lines to push through,
* there is also an active target of 1,400 still in place
* and it can also be seen that since March there have been two previous occasions where the bears have pushed the market lower, only for the bulls to come back in and push the market higher (although the first one was the Fuskshima sell off/recovery).

Note also that the S&P did pull back from the intra day low to close at 1,329. If it can get back up to 1,335 tomorrow, this column of 0's will reverse in to a new column of X's (as the 3 box (5x3) 15 point revesal will be satisfied).

We are at a bit of an impasse here - the downside target is active but its not compelling.

FTA Mining Sector - toppy!!

SPX: 1,250?

There is a target to the downside of 1,250 but it is not active. It will only be triggered if the current up column of Xs reverses and the next column of 0's fills the 1,325 box.

GS - triple bottom sell signal

On the 1x3 H/L chart - need to see this $149 level hold ideally. Recent support has been punctured, giving active targets to downside of $142 and $124. The 'closing' 1x3 chart has an active target to downside of $129.