Published: 18 Oct 2019

1. If CESIEUR crossed above certain value, returns of SXXP: see Tableau here

There seem to be positive correlation of returns with crossing a certain value, with a contrarian ‘bump’ in the range of -80 to -60 for the indicator values:

This correlation does changes however if 2008 is excluded:

Currently CESIEUR is around -68, below are expected SXXP returns when the indicator is in the range from -65 to -70, it starts to outperform after two months: