FRANCE

Foreign investors may invest and trade France in a number of ways, through Country Funds (FRF), WEBS (EWQ) and individual stocks with ADRS such as AXA, FTE or LVMHY.
Frequently, these forecasts apply equally well to the S&P.500 or CAC40.

Exchange Information  ParisBourse CAC40

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SPECIAL ALERT FEBRUARY 13

On the bottom, our first objective of a first purging of -10/-12% is already achieved.

The beginning of the next week could however involve us still a little lower. Assumption on the CAC 40: redescente on 3950 points by Tuesday evening and even possibility of reaching 3850 points approximately.

Though it is exactly, it seems to us that the markets soon will need to take again their breath. A beautiful rebound seems plausible from the 16/17. Can it go far? We can consider that the rebound lasts until February 26 approximately approximately to aim on the CAC 40 4200 points. Let us not exclude besides completely a return on the last node to 4350 points,

Caution: the rebound that we consider can proceed according to different schemas, difficult to appreciate on the short term. Let us note for example a probably difficult meeting Thursday February 18... It is thus possible that the rebound starts more tardily than we think it today and than it can also overflow on the March beginning.
We insist however on the fact that the basic tendency remains negative for our model. In March, the markets should go appreciably low than than they will have already reached in February. To some extent, the vague current depression would not constitute whereas a simple setting in legs...

CAUTION: OUR FAST COMPLEMENTS ONLY AIM AT COMMENTING ON THE EVOLUTION OF THE STEPS WITHIN THE FRAMEWORK OF OUR FORECASTS MIDDLE TO LONG TERM. WE FORMULATE SOMETIMES ASSUMPTIONS OF SHORT TERM, BUT THOSE MUST BE TAKEN WITH MANY PRECAUTIONS BECAUSE THEY ARE VERY FRAGILE.

The market actions over the past week have actually become dangerous.

Let us not accuse the Parisian liquidation of this Friday, because Frankfurt, Zurich, etc fell in the same proportions. We had considered a possible return towards 4300 points on the CAC, but it seems that it is necessary to be satisfied with the last small node towards 4210 points. The first wave of depression until spring thus appears to us to be committed.  On the very short term, we can consider a bad, even a very bad beginning of next week. A rebound appears plausible starting from the middle/end of the week and it could (possibly) overflow onto the beginning of February. We think however that it is not very probable that such a rebound can now involve us above 4200 points approximately.

Caution: these short term forecasts  obviously very fragile... Let us note finally that until  mid-February, it is possible to have a first purging of -10% approximately.  If 4200 is indeed the last node, that could initially involve us towards 3750/3850 points.

MIDTERM FORECASTS - March/April: -15/25%  CAC 40 ~ 3500

LONG TERM FORECASTS - September: -30/40%   CAC 40 ~2800/2500
 

FORECAST
Short Term:  +5% CAC 40 4100/4300

4-15 January:  Last Dash Higher?
15/19 January: First Signal Lower
25 January: Second Signal Bear
2 February: Third and Last Bear Signal

Intermediate Term: -15% CAC40 3800/3600 by end of March.
 

Always to check with your licensed financial planner or broker before acting upon the recommendations of the Astrologers Fund, Inc or its associates. This is just the starting point of your research. and you must carefully investigate before you buy/or sell.