Hi there traders this is Steve Miley for forextraders.com and we’re going to do our regular Friday look at the equity market in here.
…and here we’re going to concentrate on the EURO STOXX 50.
The EURO STOXX 50 – this is the largest 50 stocks in Europe: the pan-European equity benchmark index in here, and we’ve seen [that] the market has been grinding higher. It’s been an erratic consolidation, really, from the middle of October in here.
It’s pushing higher within that consolidation phase, making new highs just at the beginning of this week, up to 3629 through this previous peak at 3620 and reinforcing this earlier October strong rally we had.
So, upside threats still very much intact. Yes, a slow decent – there is a potential for a setback, but the market [has dipped] twice in here in the last few days: Wednesday and Thursday we’ve had significant dips lower and then significant rebounds from above this 3576 / 3564 support area. More recently rebounding from 3583 and then from our 3592/90 support area.
And that all leaves upside risk for us going into today. We’re looking out for a potential challenge for 3625/29 and maybe extension through to 3639 going into today. Maybe even as high as 3650 – we do have the US employment report today.
Only down through 3592/90 sets a more negative tone to target 3583; maybe as deep as 3576 / 3564 supports.
Again this has been Steve Miley for forextraders.com.
Don’t forget to follow us on our YouTube channel and I’ll be back with you soon.