Asia: Singapore breakout, ASX 200 selling pressure

Singapore’s Straits Times Index broke long-term resistance at 3300, signaling an advance to the 2007 high of 3900*. Troughs above zero on 13-week Twiggs Momentum strengthen the signal.
DJ Shanghai Index

* Target calculation: 3300 + ( 3300 – 2700 ) = 3900

India’s Sensex followed through above resistance at 19000. Breach of the descending trendline would indicate a primary advance to 22000*. 13-week Twiggs Money Flow below zero, however, signals selling pressure and reversal below 19000 would warn of another test of primary support at 18000.
BSE Sensex Index

* Target calculation: 20000 + ( 20000 – 18000 ) = 22000

China’s Shanghai Composite is again testing medium-term support at 2150. Failure of support would warn of a decline to test primary support at 1950/2000. Reversal above 2250, however, would penetrate the descending trendline, indicating another test of 2500.
Shanghai Composite Index

Japan’s Nikkei 225 continues to climb, with a steeply rising 13-week Twiggs Money Flow indicating strong buying pressure. Target for the advance is 15000*.
Nikkei 225 Index

* Target calculation: 11500 + ( 11500 – 8000 ) = 15000

The ASX 200 is testing resistance at 5150. Breakout would offer a target of 5400*, but bearish divergence on 13-week Twiggs Money Flow warns of selling pressure. Failure of support at 4900 would signal a reversal.
ASX 200 Index

* Target calculation: 5150 + ( 5150 – 4900 ) = 5400

4 Replies to “Asia: Singapore breakout, ASX 200 selling pressure”

  1. Twiggs , very good US $ fundamental piece.
    Can you apply ‘ similar ‘ smart original insight into our banking index prognosis. You obviously display the required intellect. Thanks

    1. Can you give me more detail on your “banking index prognosis”.
      Intellect is overrated. Otherwise the best traders would be geeks.

      1. Intellect not synonomous with intelligence, so your remark misplaced. ASX 200 = BANKS + (BHP/RIO/Woodside) , essentially. Given huge falls in latter,former ‘holds’ key to prospective ASX 200, that you follow. Seems more emphasis by Twiggs on Banking index prognosis will be appreciated. Thanks

      2. Thanks for the compliment.
        It’s difficult for me to separate technical analysis from my fundamental view that Australian banks are under-capitalized and over-exposed to the housing bubble.

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