"No warning can save people determined to grow suddently rich" - Lord Overstone

  • 57 mins Will Regulatory Rollbacks Make Banks 'Too Big To Fail?'
  • 2 hours Elon Musk’s $2.6 Billion Tesla Challenge
  • 3 hours Tech Giants Could Be First Victims Of U.S. Trade War
  • 4 hours Dow Gains Despite Fed’s Rate Hike
  • 5 hours The Biggest Threat To Chinese Oil Futures
  • 6 hours Spending Bill Could Cause U.S. Debt To Soar To 99% Of GDP
  • 8 hours Precious Metals Slide Ahead Of Fed’s Interest Rate Decision
  • 9 hours China’s Soft Power Grab May Be Bad News For Emerging Economies
  • 1 day The Secretive Wall Street Firm Betting On Bitcoin
  • 1 day ‘Data Is King’: The Oil Industry’s Next Most Valuable Resource
  • 1 day Google Invests $300 Million To Combat Fake News
  • 1 day Zuckerberg Dodges A Bullet As Facebook Loses Billions
  • 1 day Tesla Tumbles As Investors Lose Patience
  • 1 day Are Alt-Coins On The Verge Of A Break Out?
  • 1 day What Should Gold Investors Expect From The New Fed Chair?
  • 1 day Who Will Pay For Trump's $60 Billion China Tariffs?
  • 2 days Vladimir Putin’s Mysterious Fortune
  • 2 days Cryptos Resist Social Media Crackdown
  • 2 days The Death Of Dodd-Frank
  • 2 days Bitcoin Bounces Back Ahead Of G20 Meeting
What Killed Toys ‘R’ Us?

What Killed Toys ‘R’ Us?

In another blow for America’s…

Economic Pressures Weigh On Banks And Borrowers

Economic Pressures Weigh On Banks And Borrowers

Banks and borrowers are under…

Snap Shares Tank Over ‘Slap Rihanna’ Campaign

Snap Shares Tank Over ‘Slap Rihanna’ Campaign

Snapchat’s share prices tumbled after…

Europe is Ready for a Sell Signal

This is not the case in US but Friday's session looks like a reversal day


The Sigma Whole Europe Index (SWEI) enjoyed a strong rally on Friday. The index is right below a major resistance (pink horizontal line).

Sigma Wholr Europe Index

Looking at the CAC, DAX and the Eurostoxx, we can notice the situation is roughly the same than on the SWEI. For both the CAC and the DAX, we can clearly identify an uptrend channel (in blue). As we are not at the top end of this uptrend some upside remains possible.




Nevertheless, the Sigma Trend Index in Europe surged to '68' on Friday. This level is well above the key '34' level required for a sell signal. So, if the Swing or the Power Level dropped below '2' in the next 3 sessions, we will get a confirmed sell signal on European Markets. (For more details on buy/sell signal, have a look at our methodology)

EU daily Model

The ST model uplifted its stop on the DAX:

DAX Short term

United States:

The Sigma Whole Market Index had a difficult session on Friday. The market printed a huge gap at the open and continued to rally during the first minutes of the session. Thereafter, the market started to decline and it closed well below its intraday high. The market printed a clear 'doji' on Friday.

Sigma Whole market Index

Looking at some major US indexes, we can clearly see that Friday's session looks like a reversal day: open near the intraday high and close near the intraday low.



S&P Mid-Cap 400

S&P Small Cap 600

The Sigma Trend Index is still far from the key '34' level (at '16'). So, at this stage, it will be impossible to get a 'sell' on US markets.

ST Model

The ST model uplifted its stops on both the SPX and the NDX:

SPX Short Term

NDX Short term

Short Term Trading Book:

- SPX: long at 1892.65 (stop @ 1968, 3pts below the ST model to take into account bid/ask spread)
- NDX: long at 3828.03(stop @ 3994, 5pts below the ST model to take into account bid/ask spread)
- CAC: stopped
- EuroStoxx50: stopped
- DAX: long at 8769.25(stop @ 9205, 10pts below the ST model to take into account bid/ask spread)
- IBEX: stopped


For those of you interested in our trades or in our methodology, you can visit our site. A full description of our ST model is available on our site. You can also subscribe to our twitter account (@SigmaTradingOsc), it is free and you are updated on our latest view/trades.


Back to homepage

Leave a comment

Leave a comment

Sign Up For The Safehaven Newsletter