Japan’s Nikkei 225 Index broke through resistance at 10000. Follow-through above 10200 would indicate a further advance as signaled by sharply rising 13-week Twiggs Money Flow. The rally is becoming dangerously extended and a correction to test support would add stability.
* Target calculation: 10000 + ( 10000 – 9000 ) = 11000
South Korea’s Seoul Composite Index is already in a primary up-trend. Respect of the zero line by 13-week Twiggs Money Flow again signals strong buying pressure. Follow-through above 2050 would signal an advance to 2200*.
* Target calculation: 1950 + ( 1950 – 1700 ) = 2200
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He co-founded Incredible Charts and writes the popular Trading Diary and Patient Investor newsletters.
Using a top-down approach, Colin identifies key macro trends in the global economy before evaluating selected opportunities using a combination of fundamental and technical analysis.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
He founded PVT Capital (AFSL No. 546090) in May 2023, which offers investment strategy and advice to wholesale clients.