[Premium] Three Charts For The Week Ahead

Last week we focused on AUDJPY, S&P Global 100 & Nifty 500.

Let's move into this week's topics.

1.  The first chart we're looking at is Stoxx Europe 600. With the noise/sideways move we're seeing in certain global indices and the 'cry for market crash' narrative finding its voice at every market halt, let's take a look at the chart below. What do we see?

A 20-year base breakout is what we see! These big base breakouts allude to the fact that this market move is far from over. Indices are breaking out of long-term bases and consolidations, finally moving past crucial resistances. This is not indicative of a bear market. What we're tracking here is whether the price sustains at these highs and moves towards its next target of 506.

Click on chart to enlarge view.

2. The second chart we're looking at is Aluminum. Post the run-up in base metals, we witnessed consolidation and it looks like that consolidation may be coming to an end. The price is moving past the 177 level and looks like it's ready to inch closer towards its target of 189. The indicator continues to hover close to the bullish momentum zone. A rally in Aluminum may well trigger a move in the other base metals as well.

3. The third chart we're looking at is Nifty Commodities. The index has clocked a fresh all-time high and looks good for the rest of the move towards its target of 5,560. Metals, Cement, Consumer durables have been doing well and this index is pointing at just that.

We're tracking this index closely as it is displaying strength on an absolute and relative basis in a range-bound market. This theme could play out until the market finds its direction again.

In our view, these charts will help set the tone for this week and provide us information on how we should approach the market in the coming weeks.

Also, make sure to check out our other weekly post, "Trade Of The Week."

Thanks for reading and please let us know if you have any questions.

Allstarcharts Team