The Dow is testing medium-term support at 11600. Failure would mean another test of primary support at 10600, while respect of support (with breakout above 12300) would confirm the primary advance to 12800*. Rising 21-day Twiggs Money Flow continues to indicate buying pressure, favoring an advance.
* Target calculation: 11600 + ( 11600 – 10400 ) = 12800
The S&P 500 is also testing medium-term support, this time at 1220. Respect would signal an advance to the 2011 high, while failure would re-test 1100. In the long-term, breach of 1100 would offer a target of 900* and breakout above 1350 would signal an advance to 1600.
* Target calculation: 1100 – ( 1300 – 1100 ) = 900
Bullish divergence on the Nasdaq 100 indicates strong buying pressure and a likely reversal. Breakout above 2440 would signal an advance to 2800*. Reversal below 2300 is less likely, but would warn of another test of primary support at 2000.
* Target calculation: 2400 + ( 2400 – 2000 ) = 2800
The Euro with its present membership is going to fail, it is just a question of when. A “hard core” of northern countries may continue with it, but the hubristic Empire building project is in its death throes.
There are threats – from European politicians who should be more sensible – of renewed conflict if the Euro fails, but the blame should be firmly cast at these politicians who pushed and pushed for federal centralisation, unwanted by their populations. It is they who have caused the unrest, with their bullying and undemocratic ways, and as we know it only needs a few idiots with power to propel us all into trouble. We could have co-operated happily as a Free Trade Area, but they would insist on more, more and more. Now we have the resulting chaos thanks to the likes of Heath, Kohl and Blair.
Sharing a common currency has tremendous advantages. But the EMU members tried to have their cake and eat it. As they have discovered, you cannot share a common currency without foregoing some degree of independence.
Let’s hope the Nasdaq 100 can hold 2000 1720 ish is also looking good in the would of the Euro . What would happen if all the euro countries in trouble all came out together , God help us all
See Ya Mark .