Hello all, today I would like to share this analysis about the FTSE MIB index. A like would be appreciated; now, let me describe my strategy.
1. The horizontal line at the bottom seems to form a good support: it was touched several times in the last 20 years, but it hasn't been surpassed by any bar. Unfortunately, the "First resistance" line kept the index low for approximately 13 years.
2. This index shows a ciclic pattern: every 1300 days it goes from the bottom to the first resistance: it happened for 3 times.
3. Nowadays, we are again on the first resistance line: if there will be a breakout of it, the "Second resistance" will be reached in few bars: it's a potential +20% for the index.
4. Then, as we can see from the left of the graph, a green DOJI pattern could indicate a weakness of the "Second resistance" line. However, in my opinion there will be a pullback to the low price of the DOJI.
5. This won't stop the growth of the index, which will gain another 15% in the next bars.
The growth will slow down around 36700 points, as the historical channel of the index is 12300 points: today the index is at 24500 points and could gain the amount of the channel in the next future.
My target is 24500 + 12300 = 36700 LONG.
In my opinion, the ciclic aspect of this index will keep going on, so we will see this huge bounce up in the next 960 days (1300 days - 340 days).
Keep trading guys!!!!
1. The horizontal line at the bottom seems to form a good support: it was touched several times in the last 20 years, but it hasn't been surpassed by any bar. Unfortunately, the "First resistance" line kept the index low for approximately 13 years.
2. This index shows a ciclic pattern: every 1300 days it goes from the bottom to the first resistance: it happened for 3 times.
3. Nowadays, we are again on the first resistance line: if there will be a breakout of it, the "Second resistance" will be reached in few bars: it's a potential +20% for the index.
4. Then, as we can see from the left of the graph, a green DOJI pattern could indicate a weakness of the "Second resistance" line. However, in my opinion there will be a pullback to the low price of the DOJI.
5. This won't stop the growth of the index, which will gain another 15% in the next bars.
The growth will slow down around 36700 points, as the historical channel of the index is 12300 points: today the index is at 24500 points and could gain the amount of the channel in the next future.
My target is 24500 + 12300 = 36700 LONG.
In my opinion, the ciclic aspect of this index will keep going on, so we will see this huge bounce up in the next 960 days (1300 days - 340 days).
Keep trading guys!!!!