A focus on the Indices was Richard Jones’, Managing Director of Hedge Ratio Analysis, specialist subject when he joined Nick Batsford and Zak Mir on the Tip TV Finance Show to discuss how hedge ratio is used and to provide analysis on a myriad of Indices.
Key Points:
Dow has been a driving force, with the Index jumping above 17800 recently, and now facing a battle between bulls pushing for 18000 and bears holding the Dow back.
According to Jones, the NASDAQ is trapped, and shouldn’t be at these levels.
The FTSE 100 is very sensitive around 6450, and he added that it has been benign recently and we are not seeing heavy moves on a daily basis.
In terms of the DAX, Jones highlighted that it bottomed out at 10750, and he continued that the Index shouldn’t be where it is but QE is forcing the pace. He concluded it is 400 points overstretched at the moment.
He finished the segment by noting that Thanksgiving and Christmas give the markets a chance for a double Santa rally heading into 2016.