An example of direct democracy at work. Caroline Copley writes:
Swiss voters on Sunday rejected proposals to introduce the world’s highest minimum wage……
About 76 per cent of voters in the wealthy nation dismissed the proposal made by Swiss union SGB and backed by the Socialist and Green parties for a minimum wage of 22 Swiss francs ($25) per hour, final results showed.
Read more at Swiss Voters Just Rejected A $US25 An Hour Minimum Wage | Business Insider.
The Footsie broke resistance at 6850, signaling an advance to 7200*. Completion of another 13-week Twiggs Money Flow trough above zero indicates strong buying pressure. Reversal below 6700 is unlikely, but would signal a bull trap (and test of 6400/6500).
* Target calculation: 6800 + ( 6800 – 6400 ) = 7200
The DAX is testing resistance at 9800. Breakout would offer a target of 10600*. Recovery of 13-week Twiggs Money Flow above 30% would suggest that the bearish divergence is over. Respect of resistance is less likely, but would warn of another test of primary support at 9000.
* Target calculation: 9800 + ( 9800 – 9000 ) = 10600
Dow Jones Euro Stoxx 50 overcame long-term resistance at 3050/3100 and follow-through above 3240 would confirm a target of 3400*. Recovery above 3180 would signal another advance, but bearish divergence on 13-week Twiggs Momentum suggests weakness. Failure of 3100 would warn of a correction to test 2900/3000.
* Target calculation: 3200 + ( 3200 – 3000 ) = 3400
Dow Jones Euro Stoxx 50 respected support at 3100 and follow-through above 3180 would indicate an advance to 3350*. 13-Week Twiggs Money Flow oscillating above zero indicates a healthy up-trend. Reversal below 3100 is unlikely, but would warn of a correction to the primary trendline.
* Target calculation: 3100 + ( 3100 – 2850 ) = 3350
The Euro is retracing to test support at $1.37 on the monthly chart. Bearish divergence on 13-week Twiggs Momentum continues to warn of medium-term weakness, and penetration of the rising trendline/support at $1.35 would warn of a bull trap. Follow-through above $1.40 is unlikely at present, but would signal an advance to $1.46*.
* Target calculation: 1.37 + ( 1.37 – 1.28 ) = 1.46
Dow Jones Euro Stoxx 50 found support at 3100. Recovery above 3180 would signal another advance, but bearish divergence on 13-week Twiggs Momentum suggests weakness. Failure of 3100 would warn of a correction to test 2900/3000.
The DAX found support at 9200 and recovery above 9400 would suggest another test of 9800. Breakout above 9800 is unlikely, but would offer a target of 10600*. Bearish divergence on 13-week Twiggs Money Flow continues to indicate medium-term selling pressure, until the descending trendline is broken. Further consolidation between 9000 and 9800 is the most likely outcome. Breach of primary support at 9000 is unlikely, but would signal reversal to a primary down-trend.
DAX Volatility is rising, but continues to indicate low risk typical of a bull market.
The Footsie similarly found support at 6500. Recovery above 6750 would signal another attempt at 6850. 13-Week Twiggs Money Flow oscillating above zero continues to indicate healthy (long-term) buying pressure. Reversal below 6400 (and the rising trendline) is unlikely, but would signal a primary reversal. Breakout above 6850 is also unlikely at this stage, so again further consolidation is the most likely outcome.
A simple reflection of the weekly trend on major markets using Ichimoku Cloud. Candles above the cloud indicate an up-trend, below the cloud indicates a down-trend, while in the cloud reflects uncertainty. From West to East:
S&P 500
Footsie
DAX
ASX 200
Nikkei 225 is testing primary support at 14000 and looks a bit weaker
While China is holding above primary support at 1950/2000 but shows no clear trend
Overall, there is a strong case for a bull market.
Dow Jones Euro Stoxx 50 broke through resistance at 3180, signaling an advance to 3350*. Completion of a 13-week Twiggs Momentum trough above zero would confirm strong buying pressure. Reversal below 3150 is unlikely, but would warn of a bull trap.
* Target calculation: 3150 + ( 3150 – 2950 ) = 3350
DAX breakout above 9800 would signal an advance to 10600* — though there is bound to be some resistance at 10000. Recovery of 13-week Twiggs Money Flow above the descending trendline would suggest that medium-term selling pressure is easing. Reversal below 9400 is unlikely, but would indicate another test of primary support at 9000.
DAX Volatility at 15 indicates low risk typical of a bull market.
The Footsie is testing medium-term resistance at 6700. 13-Week Twiggs Money Flow oscillating above zero indicates healthy (long-term) buying pressure. Reversal below the rising trendline is unlikely, but would test primary support at 6400. Breakout above 6850 is not yet likely, but would offer a target of 7200*.
* Target calculation: 6800 + ( 6800 – 6400 ) = 7200
The DAX rallied strongly off primary support at 9000. Recovery of 13-week Twiggs Money Flow above the descending trendline would suggest that medium-term selling pressure is easing. Breakout above 9800 would signal an advance to 10600. Breach of primary support is unlikely at present.
DAX Volatility retreated below 20, indicating low risk typical of a bull market.
Scott Radnitz suggests that Vladimir Putin is not crazy — just deliberately acting that way.
….consider strategic theorist Thomas Schelling’s concept of the “rationality of irrationality.” This can be illustrated through the game of chicken, in which two drivers are heading for each other at full speed, and the first to swerve is the chicken. A driver who appears crazy enough to prefer dying over chickening out will always have the advantage. It is therefore rational for a player to convince his opponent that he is actually irrational.
Read more at Vladimir Putin’s irrational behavior: Why the Russian president wins if we think he is crazy..
From a speech by Dr Andreas Dombret, Member of the Executive Board of the Deutsche Bundesbank, at the New York Stock Exchange, New York, 26 March 2014:
How do we get to the end of the tunnel?
At the European level, the most important project is the banking union. The banking union is most certainly the biggest step since the introduction of the euro. And it is the most logical step to take. A single currency requires integrated financial markets and this includes the supervision of banks.
Consequently, one of the pillars the banking union rests upon is a Single Supervisory Mechanism – that is European bank supervision for the largest banks. Centralising supervisory powers in such a way can foster a comprehensive and unbiased view upon banks. It also enables policy action that is not held hostage by national interests. Thus, it will contribute to more effective supervision and better cross-border cooperation and coordination.
Read more at Andreas Dombret: What is going on in Europe? The view from within.
