Tag: Hang Seng

Posted on

Sleeping tigers: Hang Seng and Straits Times threaten breakout

A monthly chart shows Hong Kong’s Hang Seng Index headed for a test of long-term resistance at 24000. A 13-week Twiggs Money Flow trough at zero indicates long-term buying pressure. Breakout above 24000 would signal a primary advance with a medium-term target of 27000*. Reversal below 21000 and the rising trendline is unlikely, but would warn of reversal to a primary down-trend.

Hang Seng Index

* Long-term target calculation: 24000 + ( 24000 – 21000 ) = 27000

Singapore’s Straits Times Index is testing resistance at 3300. Rising 13-week Twiggs Money Flow indicates medium-term buying pressure. Breakout above 3300 would signal a primary advance to 3600*. Respect of resistance is less likely, but reversal below 3200 would warn of another test of primary support at 3000.

Straits Times Index

* Target calculation: 3300 + ( 3300 – 3000 ) = 3600

China’s Shanghai Composite Index remains on an upward path after the PBOC lifted bank credit. Rising 13-week Twiggs Money Flow indicates medium-term buying pressure. Follow-through above 2090/2100 would suggest another test of 2150. Failure of primary support at 1990/2000 is unlikely at present, but would warn of a decline to 1850*.

Shanghai Composite Index

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

India’s Sensex respected support at 25000. Follow-through above 25700 would signal another test of resistance at 26000/26200. Breakout would offer a target of 27000*. Oscillation of 21-day Twiggs Money Flow around zero warns of hesitancy. Reversal below 25000 is less likely, but would warn of a correction to the primary trendline, around 23000.

Sensex

* Target calculation: 21000 + ( 21000 – 15000 ) = 27000

Japan’s Nikkei 225 is finding support at 15000/15200. Declining 21-day Twiggs Money Flow shows medium-term selling pressure typical of a consolidation; respect of zero would suggest another advance. Recovery above 15500 would confirm, offering a target of the December 2013 high at 16300. Reversal below 15000, however, would warn of another test of primary support at 14000.

Nikkei 225

* Target calculation: 15000 + ( 15000 – 14000 ) = 16000

Posted on

Asian stocks fall but ASX 200 resilient

The Asia-Pacific region reacted to Friday’s sell-off in US markets, with the Nikkei and Hang Seng currently down 1.5% and 1.2% respectively. The Shanghai exchange is closed for a public holiday, while India’s DJ15 is down 0.67%. The ASX 200, however, rallied towards the close, losing only 0.17%.

The monthly chart of Japan’s Nikkei 225 continues to display a large bearish divergence on 13-week Twiggs Money Flow, warning of long-term selling pressure. Reversal below 14000 would signal a primary down-trend. Recovery above 15000 is as likely, however, and would indicate another advance.

Nikkei 225

* Target calculation: 15000 + ( 15000 – 14000 ) = 16000

A monthly chart shows the Shanghai Composite Index on the flight path for a soft landing. Successive falls over the past 5 years have all exceeded the previous trough by roughly 200 points and this seems unlikely to change for the foreseeable future. The problem with a managed descent is that it is likely to endure for a lot longer than a short sharp crash. Breach of primary support at 1950 would therefore offer a target of 1800.

Shanghai Composite Index

Hong Kong’s Hang Seng Index on the other hand displays a large bullish ascending triangle. A 13-week Twiggs Money Flow trough at zero indicates buying pressure Breakout above 24000 would signal a primary advance. Reversal below the rising trendline is unlikely, but would warn of reversal to a primary down-trend.

Hang Seng Index

* Long-term target calculation: 24000 + ( 24000 – 17000 ) = 31000

India’s Sensex encountered resistance at 22500 and is likely to retrace to test 22000. Respect would signal an advance to 23000*. Bearish divergence on 13-week Twiggs Money Flow, however, warns of short/medium-term selling pressure. Reversal below 21500 is unlikely, but would indicate another correction.

Sensex

* Target calculation: 21500 + ( 21500 – 20000 ) = 23000

The ASX 200 proved surprisingly resilient, rallying toward the close. Rising 21-day Twiggs Money Flow indicates medium-term buying pressure, but expect strong resistance at 5450/5460. Breakout above 5450/5460 would signal an advance to 5600*. Respect of resistance or a false break, however, would warn of another test of support at 5300 and possibly a stronger correction. Primary support at 5050 does not at this stage appear threatened and the index remains in an up-trend.

ASX 200

* Target calculation: 5450 + ( 5450 – 5300 ) = 5600

ASX 200 VIX below 12 continues to indicate low risk typical of a bull market.

ASX 200

Posted on

Asian recovery bullish for ASX

India’s Sensex is testing long-term resistance at its all-time high of 21000. Expect retracement to test the new support level at 20500. Rising 13-week Twiggs Money Flow indicates buying pressure and breakout above 21000 would offer a long-term target of 24000*. Reversal below 20500 is unlikely, but would warn of another test of primary support at 18000.

Sensex

* Target calculation: 21000 + ( 21000 – 18000 ) = 24000

Rising troughs on Japan’s Nikkei 225 weekly chart suggest buying pressure; 13-week Twiggs Money Flow above 30% would strengthen the signal. Breakout above 15000 would signal an advance to 17500*. Reversal below 14000 is unlikely, but would warn of a bull trap.

Nikkei 225

* Target calculation: 15000 + ( 15000 – 12500 ) = 17500

China’s Shanghai Composite is consolidating below resistance at 2250. Reversal below the lower channel border at 2180, however, would warn that the trend is slowing and breach of support at 2150 would signal another correction. Declining 21-day Twiggs Money Flow indicates short-term selling pressure, but oscillation above the zero line indicates buyers are dominant in the longer term.

Shanghai Composite Index

Hong Kong’s Hang Seng is testing resistance at 23500 on the weekly chart. Breakout would be a strong bull signal, offering a target of 25500*. Follow-through above 24000 would confirm the advance. Rising 13-week Twiggs Money Flow suggests medium-term buying pressure. Reversal below 22750 is unlikely, but would indicate a correction to 21500.

Hang Seng Index

* Target calculation: 23500 + ( 23500 – 21500 ) = 25500

Rising Asian markets are bullish for the ASX. The ASX 200 index followed through above 5300, confirming an advance to 5850*. Expect retracement to test the new support level at 5250/5300. Failure of support is unlikely, but would warn of another correction.

ASX 200

* Target calculation: 5250 + ( 5250 – 4650 ) = 5850

Posted on

India, ASX breakout

India’s Sensex is retracing to test its new support level after breaking resistance at 20500 Friday, signaling a primary advance to 22000*. A 13-week Twiggs Money Flow trough above zero indicates buying pressure. Reversal below 19500 is unlikely, but would warn of another test of primary support at 18000.

Sensex

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

Japan’s Nikkei 225 is testing the rising trendline on its weekly chart. Penetration would warn that momentum is slowing, while breach of 13000 would signal a primary down-trend. Breakout above 15000 is as likely, despite the earlier bearish divergence on 13-week Twiggs Money Flow, and would signal an advance to 17500*.

Nikkei 225

* Target calculation: 15000 + ( 15000 – 12500 ) = 17500

China’s Shanghai Composite is rallying to test resistance — and the upper trend channel — at 2330. The 21-day Twiggs Money Flow trough above zero indicates growing buying pressure. Reversal below 2150 is unlikely, but would indicate another test of primary support at 1950.

Shanghai Composite Index

Hong Kong’s Hang Seng is testing resistance at 23500 on the weekly chart. Breakout would signal a primary advance to 25500*; follow-through above 24000 would confirm. Rising 13-week Twiggs Money Flow indicates medium-term buying pressure. Respect of 23000 is unlikely, but would suggest another test of support at 21500.

Hang Seng Index

* Target calculation: 23500 + ( 23500 – 21500 ) = 25500

Singapore’s Straits Times Index appears to be preparing for another test of long-term resistance at 3300. Breakout would signal a primary advance to 3600*. A 13-week Twiggs Momentum peak below zero would warn of a primary down-trend, but sentiment is bullish across a wide range of markets and upward breakout is as likely.

Straits Times Index

* Target calculation: 3300 + ( 3300 – 3000 ) = 3600

The ASX 200 recovered above resistance at the May high of 5250, the false break suggesting a bear trap. Follow-through above 5300 would confirm an advance to 5850*. Reversal below 5100 is unlikely, but would warn of a correction.

ASX 200

* Target calculation: 5250 + ( 5250 – 4650 ) = 5850

Posted on

Asia monthly charts

Monthly charts help fit the current market action into a long-term perspective. The Nikkei 225 index broke support at 9000 and is likely to test the 2009 low of 7000*. 63-Day Twiggs Momentum respecting the zero line (from below) confirms the primary down-trend.

Nikkei 225 Index

* Target calculation: 9000 – ( 11000 – 9000 ) = 7000

The Seoul Composite found (primary) support at 1650/1700, followed by a reaction to 1900. Declining 13-week Twiggs Money Flow warns of selling pressure. Respect of resistance at 1900 is likely, which would indicate another test of primary support.

Seoul Composite Index

* Target calculation: 1700 – ( 1900 – 1700 ) = 1500

The Shanghai Composite index is testing support at 2400. Failure would confirm the strong primary down-trend signaled by declining 63-day Twiggs Momentum.

Shanghai Composite Index

* Target calculation: 2500 – ( 3500 – 2500 ) = 1500

The Hang Seng index is retracing to test resistance at 20000. Declining 13-week Twiggs Money Flow warns of selling pressure. Respect of resistance, would indicate another test of 16000.

Hang Seng Index

* Target calculation: 16 – ( 20 – 16 ) = 12

India’s SENSEX is headed for a test of resistance at 17500/18000 after a small bullish divergence on 13-week Twiggs Money Flow indicated buying pressure. Respect of 18000 would warn of another test of 16000.

SENSEX Index

* Target calculation: 16 – ( 18 – 16 ) = 14

Singapore’s Straits Times Index is in a similar position. Respect of resistance at 2900 would signal another test of 2500. Failure of support would confirm the strong primary down-trend signaled by declining 63-day Twiggs Momentum.

Singapore Straits Times Index

* Target calculation: 2500 – ( 2900 – 2500 ) = 2100

Powered by WordPress / WordPress Maintenance Service By Website Helper