 Hello traders at CMC Markets. Welcome to another update by RRG Research for Monday the 12th of September. I'm recording this on a rather sad Friday the 9th of September. My name is Trevor Neal and I'm presenting to you from London. Let us start as we always do by looking at the global indices versus the MSCI World Index. Now we have seen this week that the world is in fact rotating and continuing sort of trends in the relationships between the US industries and the European industries has continued to expand. So what we're seeing is improvements in the US indices and also that group on the top right there the UKX, the FTSE 100, the Australian index and the Nikkei all holding this area over on the top right in the leading quadrant. The US indices generally are close to the MSCI World Index so correlating with it not surprising given its heavy weight in the MSCI World Index but they're close to them and so there's no outperformance opportunity from them but we've got two of the US indices not with the rest of the group. The Russell 2000, the broadly based index, has crossed to the lagging quadrant and the NASDAQ has continued to be in the lagging quadrant and heading in a westerly direction so losing JDK-RS ratio. In the European indices there's been an improvement with the stocks, the CAC and the DAX all pointing easterly and the DAX crossing across to the leading quadrant. The UK index, the UK 100 as Australian and the Nikkei, they're all far to the right separate from the rest of the indices so with strong JDK-RS ratio and generally pointedly easterly as well so they should maintain that position. What might be interesting is to pair one of these against the strongly rotating negatively rotated tech 100 the NASDAQ index. We'll come back to that shortly. Now let's break this group, this group in the leading quadrant, the FTSE 100 the ASX200 and the Nikkei up a bit and see where the real opportunity lies in there. This is a weekly chart of the FTSE 100 UK X index. Now what you can see is that this index has been moving sideways really for a year supported by 7000 and with a top just above 77600 and this has been a very you know relatively tight range. Now with the whole complex of world stock indices weak this moving sideways has actually put it in that strong position in the leading quadrant just by not going down so it's a relative thing that we're talking about here and this one is looking good by not going down. The range is pretty established, we're in the middle of the range right now it's holding up and what's interesting to me is that the relative strength index here which is marked the tops and bottoms the range really well is around the midpoint just below 50 at the moment neutral and so the indication is at the moment is that it will continue to hold this position of stability while the rest of the complex is under pressure. Now let's look at the weekly MACD of the FTSE. Something quite meaningful has happened here the blue line which is the MACD line and the dash line is the signal line and don't forget this is 12, 26 and 9 weeks. This is a double smoothed moving average and it has come back to zero so when a double smooth the difference between two moving averages smoothed comes to zero the difference is zero this is a strong message of flat sideways trading and it's just pointing easterly there now so this is another indication that the FTSE is going to hold its position at the top end of the relative strength of the group of global stock indices just by being the one which seems to not want to go down. Now let's look at the NASDAQ the NDX index here we've got in this weekly chart so each bar here is a week is a down channel we've got nice three tops on that channel bottom is a little bit less distinct but it's definitely moving down with in a channel and we're about mid channel right now we've got support where we are now at about 12,000 we've got resistances around the 13,000 here too and then of course the crucial 11,000 low which might be taken out if we continue this pattern of lower lows. The pattern here is that we are going down but we are not oversold in any way let's just have a look here we're around just we're about 45 on the RSI weekly RSI but the tendency is overall to continue the drift lower so here we are look at this in contrast to the FTSE for example which was all stable up here and that will put it to the top of the list and this one with this downward channel clear downward channel and with only really relatively light support looking still vulnerable to lower prices having said light support I should maybe I should correct that we have got support it's not strong because but it is support from 1100 here and this consolidation from 2020 so there is support about but it is moving down purposefully into the support inside the longer term down channel so a conclusion is that we possibly have a pairs opportunity here we've got the stability we like particularly the UKX because it is holding up and as your as one side of potential pair and then on the other side the weakest looking of the whole complex is the NASDAQ still looking weak so although it is approaching supports of the low but the lows kept giving way and it is in a strong downward trend trend this would still be our preferred opportunity to pair off against the UKX I wish the very very best for the weekend and thank you very much for listening from Julius and I we'll be back to you again next week with more from ROG research thank you