Canada’s TSX 60 continues to test resistance at the former primary support level of 900. Bearish divergence on Twiggs Money Flow warns of strong selling pressure. Decline below 880 would confirm a primary down-trend, with an initial target of 865*.
* Target calculation: 900 – ( 935 – 900 ) = 865
The Footsie recovered above 7400 but bearish divergence on Twiggs Money Flow warns of long-term selling pressure. Another test of primary support at 7100 remains likely.
European stocks are taking a beating, with the Dow Jones Euro Stoxx 50 Index testing support at 3400. Sharp decline on Twiggs Money Flow warns of selling pressure. Breach of 3400 would warn of a test of 3200.
* Target calculation: 3650 – ( 3650 – 3450 ) = 3850
India’s Sensex remains in a bull market.
* Target calculation: 29000 + ( 29000 – 26000 ) = 32000
As does Hong Kong’s Hang Seng Index.
* Target calculation: 24000 – ( 24000 – 21500 ) = 26500
While China’s Shanghai Composite index ranges between 3000 and 3300. Government interference remains a concern.
