The FTSE Index trend remains up and no single day action will change that. What does get our attention from a Power of the Pattern perspective is that this key index is testing the underside of a 10-year rising channel at (1).
Below looks at the CAC 40 from France-
Just like the FTSE 100, the CAC 40 trend remains up. Another similar chart pattern can be found here, as the index is testing the underside of a multi-year rising channel in the chart above.
Below looks at the Dow over the past 20-years-
The trend in the Dow also remains up! The rally over the past few years has the Dow testing the underside of two long-term channels at (3), as momentum is the highest since the late 1990’s at (4).
The bottom line for all three…Trends remain up for each of these key indices. Each happens to be testing the underside of long-term rising channels at the same time. Bulls in London, France, and the States would prefer that reversal patterns and selling pressure NOT start at the underside of potential resistance at the same time!
The Vanguard FTSE Europe ETF (VGK) fell $0.38 (-0.65%) in premarket trading Thursday. Year-to-date, VGK has gained 22.98%, versus a 16.37% rise in the benchmark S&P 500 index during the same period.
This article is brought to you courtesy of Kimble Charting Solutions.