|International Equity Index Daily Hotline
2 April 2015 By Cornelia Dichio, Analyst
The Brazilian Bovespa index has recorded a 2.3% gain for Wednesday's session. Extending the rally from the round 50000 level, the market traded over the February/March ceiling leaving a base formation. The next target is the November high at 57359.3, with the possibility of further gains towards the 60000 region after that. A long trade is opened. The stop is placed at 47500 for now.
N.B. Due to a public holiday in the
Last month, the Russian Traded index encountered support at 1126.59; within the prior trading band/base. The market has almost managed to claw back losses from the February ceiling at 1312.7. We will consider buying a sustained breakout for the scope towards the late-November high at 1526.26.
A number of other European markets have managed to renew their advance.
Spain's IBEX 35 index, for instance, has experienced a brief and shallow correction from overbought. Although next chart resistance is not until 12240.5, the January 2010 high, we would point out that the RSI has remained near overbought levels.
Italy's S&P MIB index is another example of a market enjoying a short-lived pullback, in response to overbought indicators, before moving ahead again. Here too, the reaction was shallow and one notes that support has been arriving at the 20-day moving average since early February. The Italian index advances upon the October 2009 high at 24558.5.
We err on the side of caution, ahead of the holidays, and book the profit on the long held in Denmark's KFX market, making 4.08%. The index is near record levels, but the RSI is indicating a continuing overbought state.
|HUI||NYSE Arca Gold Bugs Index||169.145||+6.0%|
|XAU||PHLX Gold & Silver Index||68.8989||+5.2%|
|RTSI$||Russian Trading System Index $||910.41||+3.4%|
|IBOV||Brazil Bovespa Index||52321.8||+2.3%|
|ASE||Greece Athens SE Index||765.37||-1.3%|
|VIX||CBOE Volatility Index (VIX)||15.11||-1.2%|
|ZAR||South African Rand per 1 US Dollar||11.9957||-1.1%|
|TWM5||MSCI TAIWAN INDEX (Jun 2015)||349||-0.9%|
|KRW||South Korean Won per 1 US Dollar||1102.2||-0.7%|
|Date||Stock||Code||Type||Open Price||Current Price||% P&L||Target||Stop|
|12 Mar 2015||Mexico IPC Index||MEXBOL||Long||44055.9||44202.9||+0.33%||42500|
|18 Mar 2015||Sweden OMX Index||OMX||Long||1701.07||1669.49||-1.86%||1600|
|23 Mar 2015||S&P Global 1200 Index||SPGLOB||Long||1970.1||1925.13||-2.28%||1875|
|1 Apr 2015||Brazil Bovespa Index||IBOV||Long||52321.8||52321.8||0.00%||47500|
- A long is opened in Bovespa (Chart of the Day).
- Profits are booked on long Denmark's KFX.
- We watch to buy the Russian Traded index.
|SPGLOB||S&P Global 1200 Index||Resumes the 'bull trap' reaction towards the 200-day MA.||1925.13||-0.1%||1892.74/1930.11||1970.1|
|INDU||DJ Industrials||Ranging beneath the all-time high.||17698.2||-0.4%||17037.8||18288.6|
|SPX||S&P 500 Index||Range forming beneath the Feb all-time high.||2059.69||-0.4%||1972.56/2039.69||2119.59|
|CCMP||NASDAQ Comp.||Range develops beneath the Mar high.||4880.23||-0.4%||4547.31/4825.93||5132.52/5042.14|
|NDX||NASDAQ 100||Range develops beneath the Mar ceiling.||4311.26||-0.5%||4078.85/4280.95||4816.35/4483.97|
|UKX||FTSE 100||Renews the 'bull trap' reaction from the all-time high towards support near the 200-day MA.||6809.5||+0.5%||6298.15/6693.8||7065.08|
|SX5E||Euro Stoxx 50||Reasserts the advance after a brief correction from overbought.||3714.89||+0.5%||3533.4/3616.75||3905.5|
|CAC||France CAC40 Index||Reasserts the rally after a brief correction from overbought.||5062.22||+0.6%||4856.14/4932.53||5142.1|
|DAX||Germany DAX Index||Reasserts the advance after correcting from the overbought all-time high.||12001.4||+0.3%||11193.3/11619.7||12219.1|
|SPMIB||Italy S&P MIB Index||Renews the rally after a short-lived and shallow pullback from overbought.||23359||+0.9%||22397.9/22659.6||24558.5|
|CRTX||Russian Traded Index||Firms towards the Feb ceiling.||1265.07||+3.4%||1002.08/1126.59||1526.26/1312.7|
|IBEX||Spain IBEX 35 Index||Renews the rally after correcting from overbought. RSI remains high.||11569.8||+0.4%||10136.4/11294.7||12240.5|
|OMX||Sweden OMX Index||Finds support above the 'Trough' KDR of 11 Mar. Possibly reasserting the uptrend.||1669.49||+0.1%||1572.72/1634.81||1719.44|
|SMI||Switzerland SMI Index||Reverses the correction from overbought.||9137.26||+0.1%||8925.96/8995.38||9548.09/9397.15|
|AS51||Australia ASX200 Index||Ranging beneath resistance at the early-Mar high (5996.9).||5898.58||+0.6%||5267.4/5739.8||6385.7/6022|
|SHASHR||China Shanghai A Index||Reasserts the overbought rally from the 50-day MA.||4010.05||+0.4%||3351.05/3773.69||5045.27/4928.03|
|HSI||HK Hang Seng Index||Breaks over the Jan/Feb ceiling (25102) on the way to the Sept peak (25363). RSI overbought.||25275.6||+0.8%||23590||26387.4/25363|
|SENSEX||India BSE Sensex Index||Oversold 'bull trap' fall reverses, finding support above the Dec/Jan lows and the 200-day MA.||28260.1||+1.1%||26469.4||30024.7/29183.8|
|NKY||Japan Nikkei 225 Index||Pauses the overbought rally.||19312.8||+1.5%||16592.6/18577.1||20833.2|
|IBOV||Brazil Bovespa Index||Trades over the Feb high; near the 200-day MA, during Wed. Base breakout.||52321.8||+2.3%||47841/49908.5||57359.3/52457.1|
|SPTSX||Canada TSX Composite||Ranging beneath the Feb ceiling following the 'Peak' KDR on 25 Mar.||14942.6||+0.3%||14392.6/14606.2||15349/15161.6|
|VIX||CBOE Volatility Index (VIX)||Decline yields to ranging.||15.11||-1.2%||10.28/11.24||25.2/17.19|
Copyright 2015 by Stockcube Research Ltd.