Expect Initial Downside First Despite Dow ending 16pts lower…
Posted by admin in Futures Pick, Market AnalysisGood Morning,
NIKKEI is trading to last November’s low level. On 27th of Nov 2009; the NIKKEI hit a low of 9055 while the Dollaryen hit 84.82
If you may want to ask, how come the simsci gapped down so much when the Dow cash index on down little… the reason is because
when the SIMSCI closed at 1715hr on Friday, the S&P was trading at 1083 but now S&P is trading 1070. Meaning, about 13pts off from where the simsci closed…so in actual fact, its around -110pts effect on the dow instead than just down 16pts. Based on my personal calculation of the S&P and Dow relationship. 1 S&P pt estimated = 8.5pt of the Dow.
So based on past experiences, if the dow is down 110pts = simsci or STI to be down at opening, 20-30ticks = normal.
So kindly take note of this point.
Disclaimer applied.
More market views and updates in a short while.
Kelvin Han
V3Go System Originator
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