euro stocks trade ideanot financial advice. short taken at 12708. this idea is taken by fibs and possible retracements. any questions ask below
SX5E trade ideas
European stock benchmarks rose for a second day on FridayEUROPEAN SHARES
European stock benchmarks rose for a second day running on Friday, at the end of a stormy week, as investors bought the dip brought by short-term turbulence in the markets.
Risk appetite is on the rise after investors seized the opportunity brought by fears of a systemic risk sparked by SVB towards the Financial sector, to buy shares at discounted prices.
The panic seen recently has been replaced by a wind of relief as central banks including the Federal Reserve and the SNB, as well as other private financial institutions such as JP Morgan and Citigroup have shown support towards the financial sector to prevent further failure and bring back confidence to the markets.
Investors also noted the latest speech from ECB President, Christine Lagarde, after she announced a 50 bp rate hike yesterday while reaffirming European banks remained resilient and that monetary tightening wouldn’t be a threat to the Eurozone economy as a whole, although she did warn about the possibility of a stagflation inside the Eurozone.
Technically speaking, most equity benchmarks have registered sharp rebounds over key support levels (last top overlap + 23.6% correction of January rally).
On the short-term basis, the STOXX-50 has broken-out of its bearish trendline started in March, opening the door for further highs towards 4170.0pts, 4,205.0pts and 4,260.0pts, while today’s new inflation print will certainly increase market volatility.
Pierre Veyret– Technical analyst, ActivTrades
STOXX50 Volatility Analysis 21-25 Nov 2022 STOXX50 Volatility Analysis 21-25 Nov 2022
We can see that currently the implied volatility for this week is around 3.08%, raising from 3.07% of last week , according to VDAX data
(DAX Volatility Index which is highly correlated with VOLATILITY INDEX for STOXX)
With this in mind, currently from ATR point of view we are located in the 2th percentile, while according to VDAX, we are on 4th percentile.
Based on this, we can expect that the current weekly candles ( from open to close ) are going to between:
Bullish: 2.8% movement
Bearish: 2.1% movement
At the same time, with this data, we can make a top/bot channel which is going to contain inside the movement of this asset,
meaning that there is a 21.1% that our close of the weekly candle of this asset is going to be either above/below the next channel:
TOP: 4050
BOT: 3800
Taking into consideration the previous weekly high/low, currently for this candle there is :
27% probability we are going to touch previous low of 3850
78% probability we are going to touch previous high of 3950
Lastly, from the technical analysis point of view, currently 80% of the weekly moving averages are in a bullish trend, and
a combination of moving averages and oscillators are in 40% bullish stance
#Short EU50Short position taken based on Dow theory.
Entry taken after observing bearing signal of three inside down candle pattern
STOXX-50 index is being led down by financials and energy shares
European markets pared some of yesterday’s gains as market sentiment remains under pressure from a blurry short to mid-term outlook for stocks. Today’s appetite for riskier assets has been dented after traders saw poor industrial production figures from China, sending benchmarks slightly lower everywhere in the Eurozone. Overall market sentiment remains fragile this week as investors struggle to assess the inflation and monetary situation, especially after the collapse of SVB sparked fears of a systemic risk due to higher borrowing costs.
The STOXX-50 index is being led down by financials and energy shares, with most sectors also trading in red territory, as a corrective move following yesterday’s surge.
The situation isn’t reassuring from a technical point of view as the market has broken-out of its bullish trendline and failed to go back above the 4,200.0pts mark yesterday. The situation may become even more dangerous If prices continue to drop and break the 4,070.0pts level (23.6% Fibonacci ratio) as this would open the door to a deeper correction towards 3,910.0pts (38.2%) and 3,780.0pts (50%).
Pierre Veyret– Technical analyst, ActivTrades
TVC:SX5E
EU50 remains toppy!Trade Idea: Selling EU50EUR
Reasoning: Potential 5th wave completion in daily and 4hr charts. Price action stalled at Ichimoku Cloud (Hourly). News sentiment turning negative.
Entry Level: 4272
Take Profit Level: 4180
Stop Loss: 4303
Risk/Reward: 3:1
Disclaimer – Signal Centre. Please be reminded – you alone are responsible for your trading – both gains and losses. There is a very high degree of risk involved in trading. The technical analysis, like all indicators, strategies, columns, articles and other features accessible on/though this site is for informational purposes only and should not be construed as investment advice by you. Your use of the technical analysis, as would also your use of all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
EU50EUR explosive move through resistanceTrade Idea: Buying EU50EUR
Reasoning: Broken up through resistance after posting a bullish outside weekly candle. Continued momentum higher. Bullish flag forming.
Entry Level: 4315.9
Take Profit Level: 4357.0
Stop Loss: 4297.0
Risk/Reward: 2.17:1
Disclaimer – Signal Centre. Please be reminded – you alone are responsible for your trading – both gains and losses. There is a very high degree of risk involved in trading. The technical analysis, like all indicators, strategies, columns, articles and other features accessible on/though this site is for informational purposes only and should not be construed as investment advice by you. Your use of the technical analysis, as would also your use of all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
Many are awaiting today’s CPI release in the Eurozone.EU shares fell back on Thursday, following the bearish global trend for equities as risk aversion prevails. investors have become increasingly risk-averse due to the uncertain short- to mid-term economic outlook and prospects of tighter monetary supply globally and are taking cash out of riskier assets.
Although hawkish stances from central banks are getting well priced-in to the markets now, investors who were initially expecting a quick pivot on rates are now struggling to assess the impact of higher rates for a longer period on corporate profits and the economy as a whole. That said, the macro front is likely to remain dominant, and many are awaiting today’s Consumer Price Index release in the Eurozone as well as the minutes of the last ECB policy meeting, which could bring even more volatility to both equity and FX markets.
The STOXX-50 is testing its major support zone around 4,200.0pts where a break-out could become significantly dangerous for prices as it would invalidate the mid-term bullish run started in last October.
However, with still bull traders defending this zone, no anticipated breakout is shown by the RSI indicator and volumes remaining unusually low for a breakout, and we don’t see this as the most likely scenario from a technical point of view.
Pierre Veyret– Technical analyst, ActivTrades
TVC:SX5E
EU50 looking toppy!!Trade Idea: Selling EU50EUR
Reasoning: Bearish engulfing on Weekly chart. Elliott wave 5 complete on Daily & Hourly. Reaction rally failed. Price action breaking below.
Entry Level: 4224
Take Profit Level: 4100
Stop Loss: 4255
Risk/Reward: 4:1
Disclaimer – Signal Centre. Please be reminded – you alone are responsible for your trading – both gains and losses. There is a very high degree of risk involved in trading. The technical analysis, like all indicators, strategies, columns, articles and other features accessible on/though this site is for informational purposes only and should not be construed as investment advice by you. Your use of the technical analysis, as would also your use of all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
EU50EUR potential top in placeTrade Idea: Selling EU50EUR
Reasoning: Hanging man candle on weekly. 5th and final wave impulse move higher complete and correcting in ABC formation. Double top confirmed on short term chart
Entry Level: 4270.9
Take Profit Level: 4230.0
Stop Loss: 4289.0
Risk/Reward: 2.26:1
Disclaimer – Signal Centre. Please be reminded – you alone are responsible for your trading – both gains and losses. There is a very high degree of risk involved in trading. The technical analysis, like all indicators, strategies, columns, articles and other features accessible on/though this site is for informational purposes only and should not be construed as investment advice by you. Your use of the technical analysis, as would also your use of all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
EU50 , get ready for correction wait for the confirmation level to get hit, soon we will see the correction
Europe 50 Short IDEAThe EURO STOXX 50 is a stock index of Eurozone stocks designed by STOXX, an index provider owned by Deutsche Börse Group. The index is composed of 50 stocks from 11 countries in the Eurozone. EURO STOXX 50 represents Eurozone blue-chip companies considered as leaders in their respective sectors.
SX5E index MomentumEuropean stocks index (SX5E) price have been surging since the beginning of the third quarter 2022.
As of now, the price stands in between 0.618 and 0.786 levels of Fibonacci which suggests to take profit.
Moreover, the actual situation with the war in Ukraine and the inflation still under the loop, the risk of depreciation is still apparent.
Conclusion: Good timing to take profit on a mid term horizon.
STOXX50 near a trend changeThe european index has been rising incredibly fast lately but our algorithm has found an alert to sell the index.
Statistics says that after a 20% rally and having a massive resistance above the probabilities of a trend change are really big, at least in the short term.
By selling in the 4.000 zone, you can adjust your stop to 4.100/200 depending on your risk aversion and have a take profits at maybe 2 or 3 times your Stop Loss.
So, odds are clearly in our favor and the risks can be easily mitigated thanks to this resistance level. As a bonus tip, look how the volume is decreasing meaning the less and less interest in buying this index at this new prices.
Europoor Index: The Great ResetI created this account a year ago because I was sure the elites hadn’t even put into effect stage II of their great reset (stage 1 being a viral meme)
They indeed had an opportunity to crash world markets
I think they’re more subtle and longer term than that
Before I was convinced markets were topping out I had to be convinced that it was the markets not the dollar that would undergo a controlled demolition
The geometry confirmed a dollar bottom 18 months or so ago, the same geometry implies the generational top could be in for the dollar
The selling in markets has been controlled
Inflation has now been dialled into all financial narratives
If we look at the EU50 it looks bull af
I don’t think this big crash you all want is coming…
GRI 2022
EURO STOXX 50 Weekly Forecast Analysis 28 Nov-2 Dec 2022 EURO STOXX 50 Weekly Forecast Analysis 28 Nov-2 Dec 2022
We can see that this week, the current implied volatility is around 3.05% , down from 3.16% from last week.
According to ATR calculations, we are currently on the 6th percentile, while with VDAX we are on 1st percentile.
Based on this data, we can expect on average, the movement from open to close of the weekly candle to be :
In case of bullish - 2.2%
In case of bearish - 2.3%
With the current IV calculation, we have currently 19.2% that the close of the weekly candle is going to finish either above
or below the next channel:
TOP: 4077
BOT: 3825
At the same time, taking into consideration the high/low touch calculation from the previous values, we can expect for this week:
25% chance that we are going to touch the previous low of the weekly candle of 3980
75% chance that we are going to touch the previous high of the weekly candle of 3900
Lastly from a technical analysis point of view, currently 78% of the moving averages rating, are insinuating we are in a BULLISH trend.
