Enthusiasm fades, trend remains down in Greece

 Greek General index  tried yesterday to make a considerable upward move influenced by the financial aid given to Spain, but as expected the rally faded as time passed. Enthusiasm was high at the beginning of the session but it looked more like a trap. Many bears tried to cover short positions and many also tried to go long hoping for a trend change. I will say it once again, I prefer staying on the side with cash than trying to pick a bottom without any of my criteria being met. What are my criteria? Increased volume with impulsive move upwards and break of previous resistance levels. None of these criteria has been met. The general index just back tested the broken red support trend line and remains below my averages for some time now.

 The same stands for FTASE 20. The broken support has been back tested and no previous high surpassed. I see new lows ahead unless this index manages a move above 190-195 that could open the way towards 220-230.

National Bank of Greece although it tried to make a strong bounce yesterday, the selling pressures pushed this stock downwards. The yellow support line is our near term target since the upward move from 0,90 is not impulsive. We assume the downward trend will continue till the end of this week. After that nobody knows what could follow the weekend elections.