Despite bullish signs in Japan, China and the US, the ASX 200 is undergoing a correction. Bearish divergence on 13-week Twiggs Money Flow warns of selling pressure. Breach of medium-term support between 4900 and 5000 would indicate a test of primary support at 4650. Respect of medium-term support seems as likely, however, and would signal a healthy primary up-trend — as would a Twiggs Money Flow trough above zero.
The ASX 200 VIX index recovered above 15, but continues to indicate low market risk.
xao and xjo have found short term support of Fibonacci 38.2% of move from june lows to current highs. where to from here ?
down,down,down.
Anywhere
Mr Colin Twiggs
The “classical” trend indicators of 21 week moving average and momentum have been breached on the downside. Same again for trendline.
Above may indicate medium term directional change rather than “correction only to longer term uptrend”
Look forward to your response.