Japan’s Nikkei 225 index is headed for another test of long-term support at 8000/8200 on the monthly chart. The latest peak below zero on 13-week Twiggs Money Flow warns of strong selling pressure. Failure of support would signal another test of the 2008/2009 lows at 7000.
China’s Shanghai Composite Index is testing its 2011 low at 2150 on the weekly chart. Failure would indicate a decline to 1800*. 63-Day Twiggs Momentum below zero continues to warn of a primary down-trend. Recovery above 2250 remains unlikely, but would suggest another rally to 2500.
* Target calculation: 2150 – ( 2500 – 2150 ) = 1800
India’s Sensex is retracing to test support on the weekly chart. Respect of 17000 would indicate a rally to 18500, but 63-day Twiggs Momentum oscillating in a narrow range around zero suggests a ranging market and another test of primary support at 15800/16000 remains as likely.
Singapore’s Straits Times Index is testing resistance at 3040. Recovery of 63-day Twiggs Momentum above zero suggests that the primary up-trend is intact, and breakout would signal an advance to 3300*, but a ranging market is more likely.
* Target calculation: 3000 + ( 3000 – 2700 ) = 3300
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