The TSX 60 continues to test primary support at 640. Positive sentiment on US markets and from Greek election results is likely to fuel a rally. Breakout above 670 would confirm. Breach of the descending trendline would warn that a bottom is forming. Recovery of 63-day Twiggs Momentum above zero would complete a large bullish divergence, suggesting a primary up-trend. Respect of zero, however, would indicate continuation of the down-trend.
Canada’s TSX 60 Index threatens to complete a large head and shoulders reversal with a break below support at 640. The first shoulder is in April 2010 and the second in March 2012. The recent iceberg on 63-day Twiggs Momentum warns of a primary down-trend. Failure of support would offer an immediate target of 560* and a long-term target of 460*.
* Target calculation: 640 – ( 720 – 640 ) = 560; 640 – ( 820 – 640 ) = 460
Canada’s TSX 60 index recovered above primary support at 650. Follow-through above the April low of 675 would indicate a bear trap, presenting an early buy opportunity for aggressive traders. The more cautious may be inclined to wait for recovery above 730, especially as 63-day Twiggs Momentum (below zero) continues to warn of a primary down-trend. Reversal below 640 is more likely and would signal a decline to 580*.
* Target calculation: 650 – ( 720 – 650 ) = 580
Canada’s TSX 60 index broke through primary support at 650, confirming the primary down-trend signaled by 63-day Twiggs Momentum. Expect a decline to 580*. Recovery above 650 is unlikely at present, but would warn of a bear trap.
* Target calculation: 650 – ( 720 – 650 ) = 580
The TSX 60 is testing primary support at 650. Failure would signal a primary down-trend, already indicated by 63-day Twiggs Momentum reversal below zero. 13-Week Twiggs Money Flow, however, continues to reflect reasonable buying pressure so we need to guard against a bear trap.
* Target calculation: 650 – ( 725 – 650 ) = 575
Canada’s TSX 60 index broke medium-term support at 675, signaling continuation of the secondary correction. Reversal of 63-day Twiggs Momentum below zero warns that the primary down-trend will continue, but 13-week Twiggs Money Flow holding above zero continues to indicate healthy buying pressure. Primary support at 650 is expected to hold and be followed by a rally to test resistance at 725.
Canada’s TSX 60 continues to consolidate between 675 and 700. Upward breakout would suggest a primary advance to 775*, while failure of support would target the primary level at 650. Rising 13-week Twiggs Money Flow indicates buying pressure, favoring resumption of the primary up-trend.
* Target calculation: 725 + ( 725 – 675 ) = 775
Canada’s TSX 60 index found support at 675. Follow-through above 700 would suggest the correction is over, while 21-day Twiggs Money Flow respecting zero would strengthen the signal. Target for a fresh primary advance would be 775*. Failure of support at 675, however, would warn of another test of primary support at 650.
* Target calculation: 725 + ( 725 – 675 ) = 775
Canada’s TSX 60 Index broke the band of support at 700, warning of a correction to 650. Reversal of 63-day Twiggs Momentum below zero warns the earlier primary up-trend was a false signal. Expect a test of primary support at 650. Recovery above 700 is unlikely but would indicate resumption of the primary up-trend.
Canada’s TSX 60 index is testing medium-term support at 695/700. Another large 13-week Twiggs Money Flow trough above zero would confirm the primary up-trend — as would breakout above 730. Initial target for the advance would be 790*.
* Target calculation: 720 + ( 720 – 650 ) = 790
