The ASX 200 is testing resistance at 5200. Breakout would signal an advance to 5400*. Reversal below 5100 is unlikely but would warn of a bull trap. As would reversal of 21-day Twiggs Money Flow below zero.
* Target calculation: 5150 + ( 5150 – 4900 ) = 5400
The Energy Sector XEJ recently completed an inverted head and shoulders reversal over six weeks, signaling an advance to 137. Bullish divergence on 13-week Twiggs Money Flow indicates long-term buying pressure. Breakout above 137 would offer a long-term target around 150*.
* Target calculation: 135 + ( 135 – 120 ) = 150