Technical forecast for Eurostoxx

stoxx

Euro Stoxx Sep13 edged higher to 2673 but failed to make a sustained break above 2670 so we still have an eye on the head & shoulders topping pattern forming. We are overbought short term so only a sustained break above 2670 sees 2685/87 & possibly a move towards very strong resistance at 2709/12 for a selling opportunity.

More likely is a drift lower to 2640 then Fibonacci support at 2630. A low for the day is possible here but longs need stops below 2623 for a test of the next support at 2602 & a buying opportunity.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More