Trade idea.
Yesterday, the index managed to recover some of its losses and traveled higher to test the short-term tentative downside line. If that line continues to hold the rate down, then we could see another round of selling. But if it breaks and we see at least a 4-hour candle closing above it, this might increase the chances for a further push higher. That said, for a better confirmation of the upside, ideally, we would wait for a break and a close above the 5345 barrier. This way, the index would be back above the 200 EMA again, which could be seen as a positive sign.
Please see the chart for levels and target.
Don't forget your stop-loss.
Yesterday, the index managed to recover some of its losses and traveled higher to test the short-term tentative downside line. If that line continues to hold the rate down, then we could see another round of selling. But if it breaks and we see at least a 4-hour candle closing above it, this might increase the chances for a further push higher. That said, for a better confirmation of the upside, ideally, we would wait for a break and a close above the 5345 barrier. This way, the index would be back above the 200 EMA again, which could be seen as a positive sign.
Please see the chart for levels and target.
Don't forget your stop-loss.