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Corrective Phase

EUROSTOXX50 TECHS
  • RES 4: 3630.53 0.618 proj of Mar 16 - Jul 21 rally from Oct 29 low
  • RES 3: 3586.44 High Dec 18 and bull trigger
  • RES 2: 3544.77 Low Dec 18 and gap high on the chart
  • RES 1: 3516.66 High Dec 21 and gap low on the chart
  • PRICE: 3497.49 @ Close Dec 22
  • SUP 1: 3401.14 Low Dec 21
  • SUP 2: 3396.02 High Sep 3 and a key support
  • SUP 3: 3332.19 38.2% retracement of the Oct 29 - Dec 18 rally
  • SUP 4: 3305.77 High Oct 12

EUROSTOXX 50 volatile price action dominated Monday's session as a risk-off mood highlighted the start of this week's activity. The sharp pullback defines a clear resistance at 2586.44, Dec 18 high. The trend condition has been in overbought territory and the sell-off signals the start of a corrective phase that would open 3332.19 on a resumption of weakness. This is a Fibonacci retracement. Initial resistance is Monday's high of 3516.66.

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