European Market Overview and Stock Pick for Today

European Market Overview

European shares rebounded on Wednesday, led by gains in automakers. FSTE opened gap up and manages to trade in positive  territory  and closed on green note with the gain of 45 points. Index is trading in a range of 6450 to  6700 .It is not managing to crossed the level on the both the side and showing zig zag movement .trader can make long position when it come to the level of 6450-6500 and can open short position when it comes to level of 6700-6680 level.In near future it is looking bullish and can go to the level of 6700.

Stock Pick For Today

Antofagsta Antofagsta is looking good for short on daily and intraday charts. Stock facing strong resistance at 875 and not managing to sustain at higher level. Stock is has formed rising channel  pattern breaching of 845 level it can show downward movement. It's trading below it's 50 DMA breaching of it's 200 DMA downward movement can be seen. Trader can make short position in it below the level of 845 with stop loss of 875 for the target of 780.

Stock Pick For Today

GBP/USD Trend Today: Divergence Analysis

Pair performed a U-turn in favor of the U.S. dollar and the beginning of a drop in prices, the peak bearish divergence has not been overcome. As a result, a drop in prices continues in the direction of the correctional level 100.0%- 1.6319. Rebound rate of 100.0% correction level will allow traders to count on a turn in favor of a pair of British pound and some growth in the direction of 161.8% Fib level- 1.7250. Securing quotes below the level of 100.0% correction would allow to expect a continued fall in the direction of the correctional level of 76.4% - 1.5968. 

After formation of the bearish divergence on the 4 hour chart the pair continues to fall in the direction of correction level 100.0%- 1.6340. Bearish divergence of the indicator MACD: last peak quotations turned higher than the previous peak and a similar indicator-below the previous. If the pair will take a peak of divergence, it will be canceled, and price growth to continue in the direction of the correctional level 161.8 %- 1.7268. Securing rate below the 100.0 % Fib increase the likelihood of further drop in prices towards the next level of correction.