Technical Update - ASX 200 & Hang Seng
Kim Cramer Larsson
Technical Analyst, Saxo Bank Group
ASX200.. Short and Medium term trend down.
Short term Index is in bear trend. Current rebound is strong however. 7,260 is Bear break out level. That level is now a resistance that could be tested. A Daily close above
If the Index drops back below 7,045 the bear trend is likely to be resumed.
The below is a weekly chart
If the above mentioned scenario unfolds there is support at 6,930 and strong support at around 6,740 and around 6,500.
The Relative Strength Index (RSI) is negative indicating we could see lower levels. RSI is moving in a falling channel and break out from there could give an indication of the trend.
After a couple of days trading below 24K Hang Seng is back in the range between 24K and 25K. Indicators are giving mixed signals but another daily close below 23,951 is likely to push the Index down to re-test January lows at around 22,700.
Strong resistance at around 25K.
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