May 11

Dis-May In Europe: STOXX 600 Trades Like 2001 & 2008:

The STOXX Europe 600 is trending below declining and bearishly positioned 26 and 40-week moving averages, and as BofAML’s Stephen Suttmeier warns, ECB quantitative easing has not reversed this bearish trend.

The 2016 set-up is similar to early 2001 and early 2008 with important resistance at 350 and important support at 300. Both 2001 and 2008 saw rebounds into bearishly positioned and falling 26/40-week MAs that formed important lower tops in May.

20160511_STOXX600

This pattern could repeat or at least rhyme moving into May 2016, and the bearish wedge is a warning that Europe could follow this pattern.

20160511_STOXX6001_0

The breaks below 300 in September 2011 and June 2008 led to much deeper weakness and a similar break in 2016 could see the SXXP trend down toward 200.

* * *

PayPal: Donate in USD
PayPal: Donate in EUR
PayPal: Donate in GBP

Tags: , , , ,

3 Responses to “Dis-May In Europe: STOXX 600 Trades Like 2001 & 2008”

  1. squodgy Says:

    http://www.alt-market.com/articles/2890-what-will-the-global-economy-look-like-after-the-great-reset

  2. squodgy Says:

    http://wolfstreet.com/2016/05/10/wealth-confiscation-for-the-digital-age-the-new-cash-tax/

  3. squodgy Says:

    Tax Dollars well spent…..

    You can’t make it up can you?

    At least it is official, a bee sting on the balls officially hurts.

    http://www.thedailysheeple.com/bee-stings-to-the-genitals-really-hurt-according-to-fed-funded-study_052016

Leave a Reply