June 18, 2010
Global Equity Markets Trade Flat Overnight; Investors Searching for Catalyst
Global equity markets traded flat overnight and in a very tight range as investors searched for a catalyst which would drive the market higher. Without any major economic
reports today, traders are most likely going to watch the Euro for direction.
The recent flow of money back into the Euro can best be described as a minor shift in risk sentiment and its rally looks corrective in nature. The same thing can be said
of the current rally in the equity markets as the two major indices and the Dow average head back toward 50% to 61.8% of the entire April to June break.
Now that these three markets have weaseled their way back to their major retracement zones, investors are approaching the rally with caution as they wait for a shift in
the fundamental outlook for the markets to be the new catalyst which drives them even higher. Some analysts are beginning to question whether the market is being driven …
