About a month ago I warned about an imminent reversal in European Equities (measured as EUROSTOXX 50 Index). My strong advice was to reduse long exposure to a minimum, or better liquidate long totally.
Now we see some ominous signs that reversal is indeed happened. Notice engulfing weekly bar.
The big picture of the price structure and momentum signature makes me believe that this is a TOP of significant magnitude, one which I was waiting for quite some time.
I believe that all the gains from 2009 will be taken back by the coming Bear Market cycle.