Shanghai threatens primary support

China’s Shanghai Composite Index is again testing primary support at 1990/2000. The triangle formation on 21-day Twiggs Money Flow indicates uncertainty. Breach of 1990 would warn of a primary decline to 1850. Respect is less likely, but would suggest a (bear) rally to 2080.

Shanghai Composite Index

* Target calculation: 2000 – ( 2150 – 2000 ) = 1850