The TSX 60 is testing resistance at 700 on the weekly chart. Penetration of the descending trendline suggests that a bottom is forming. Oscillation of 13-week Twiggs Money Flow above zero indicates buying pressure. Follow-through above 700 would test primary resistance at 730. Reversal below 680 is unlikely, but would re-test primary support at 640.
* Target calculation: 730 + ( 730 – 640 ) = 820
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.