Long term trend: Up
Medium term trend: Up
Significant levels: 5640 (Horizontal Resistance), 5370 (Horizontal Support)
This index is back to its original trend which is up. Australian stocks are getting back its momentum. We are now bullish with this index. What we're trying to look for here is to see a retracement back to the 5370 level as this would be the best opportunity to go Long. Even if we are bullish right now, we still need to be cautious that the down sentiment before might not be done and there will be a possibility of it to continue. Therefore, the price action that will form in the retracement (if it will happen) is important. The retracement that we are looking for will probably occur because of the steepness of the upward movement recently.
For now, we'll wait for that retracement. Trade well.
Medium term trend: Up
Significant levels: 5640 (Horizontal Resistance), 5370 (Horizontal Support)
This index is back to its original trend which is up. Australian stocks are getting back its momentum. We are now bullish with this index. What we're trying to look for here is to see a retracement back to the 5370 level as this would be the best opportunity to go Long. Even if we are bullish right now, we still need to be cautious that the down sentiment before might not be done and there will be a possibility of it to continue. Therefore, the price action that will form in the retracement (if it will happen) is important. The retracement that we are looking for will probably occur because of the steepness of the upward movement recently.
For now, we'll wait for that retracement. Trade well.