Sunday, July 13, 2014

Europe: 2 possible scenarios

2 possible scenarios for European stocks (VGK):

Scenario A (H&S)
Currently start forming a Left Shoulder:


















If the above scenario plays out then targets are 45 and maybe  even 34$.We favor this scenario

Scenario B (Trading range ~54-60)
This is a rather neutral scenario although we believe that if it plays out , it will be followed by a gradual descend towards 50 and later on even 44$