India’s Sensex broke through 19000 to confirm an advance to 20000*. Oscillation of 13-week Twiggs Money Flow above zero indicates long-term buying pressure.
* Target calculation: 19 + ( 19 – 18 ) = 20
Singapore’s Straits Times Index is testing resistance at 3100. Breakout would indicate a test of the upper trend channel at 3260*. Respect would test the lower channel at 2900. The 63-day Twiggs Momentum trough above zero suggests a primary advance.
* Target calculation: 3100 + ( 3100 – 2940 ) = 3260
Japan’s Nikkei 225 Index is retracing to test the new support level at 9200/9300. Respect would confirm an advance to 10200*. Rising 63-day Twiggs Momentum suggests a primary up-trend; look for a trough above zero to confirm.
* Target calculation: 9200 + ( 9200 – 8200 ) = 10200
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients.
Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter.
Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit.
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.