MIB forecast for the week of August 24, 2015, Technical Analysis

The MIB as you can see fell significantly during the course of the week, heading below the 22,000 level. With this, the market looks as if it is trying to find some support, but we don’t really see any chance of seeing quite a bit of support until we get to the 21,000 level. With this, we are waiting to see if we get a supportive candle, but would not be interested in trying to short this market for longer-term moves at this point in time as we do not think that the risk to reward ratio is good enough.