AS US equity indices rise towards their first resistance levels (see the January 8th edition) which start at about 2635 in the S&P, there is another game playing out in the UK.
As we wrote toward the end of the December 13th edition, the FTSE is cheap. There is now a chance to buy it, based on one of our most reliable signals - a compression that has broken upward and then been re-tested, as the chart below shows. Buy at market.
All signals courtesy of software supplied by our friends at Parallax Financial Research www.pfr.com