EuroStoxx: lower highs highlight opportunity
Bearish signals on the week and in each of the last two days have been confirmed; investors selling futures on Wednesday to post a seventh lower daily low in a row and a loss of 31 points on the day. A daily Hanging Man at last week’s top has signalled the deterioration and this could be the Head to a potential bearish Head and Shoulders reversal pattern.
Management and risk description
Sell the rally and lower the stop to entry if the first target is met.
Entry: sell at 2980.
Stop: 3000, just above yesterday's high.
Target: 2948, the four-week low and 2888, last month's base.
Time horizon: today only.
– Edited by Gayle Bryant