After subdued trading in Asia and Europe the Dow started to move up after Europe had closed. A 2 hour uptrend started and the index accelerated to close at 11.043. Next target is 11.115 where a gap should be closed, here after 11.173. If Dow takes that, 11.500 might come under test.
SP500, FTSE and DAX followed Dow and all closed up with strong 2 hour up trends. SWED closed up and will advance more at opening on Tuesday. This index is not traded in the US.
Dow can ofcourse stop its uptrend at any point but for now it seems strong.
The meeting of IMF, Worldbank and high economic dignitaries in US during the weekend most certainly gave the markets enough power to stop selling and choose the upside. Of all the talk about Greece and how Europe should leverage its fund to lend more, nothing changed the fundamental situation that Greece could be handled, but Italy and Spain could be next. That is the real problem. Spains Prime minister closed the Parliament today before new elections November 20. My personal wonder is what is hidden in Spains economy since the current Prime minister does not want a third term. So much has been said about Italy but close to nothing about Spain despite they pay the same high yield on bonds and Spains unemployment is more than 20 percent. Zapatero is definitely the man who is to blame for many bad political things during the last 8 years so I would not be surprised when Partido Popular takes over that they will find some thing that we do not know of yet.
SP500, FTSE and DAX followed Dow and all closed up with strong 2 hour up trends. SWED closed up and will advance more at opening on Tuesday. This index is not traded in the US.
Dow can ofcourse stop its uptrend at any point but for now it seems strong.
The meeting of IMF, Worldbank and high economic dignitaries in US during the weekend most certainly gave the markets enough power to stop selling and choose the upside. Of all the talk about Greece and how Europe should leverage its fund to lend more, nothing changed the fundamental situation that Greece could be handled, but Italy and Spain could be next. That is the real problem. Spains Prime minister closed the Parliament today before new elections November 20. My personal wonder is what is hidden in Spains economy since the current Prime minister does not want a third term. So much has been said about Italy but close to nothing about Spain despite they pay the same high yield on bonds and Spains unemployment is more than 20 percent. Zapatero is definitely the man who is to blame for many bad political things during the last 8 years so I would not be surprised when Partido Popular takes over that they will find some thing that we do not know of yet.
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