Hello Traders,
Hang Seng made a top (?) yesterday @ 29010 and achieved the lower range of the targetzone as of my last analyse. It formed a kind of „doji“ which to interpret by todays bear candle is likely an „evening-star“. A formation as it occurrs at trend reversal points.
At 29010 HS also had resistance by two Fibonacci level as I wrote before. The .618 of the wave „i“ (blue) and the FibExtension of wave „i“ and „ii“ @ 28921.8, which is marked red at chart.
The first Fibonacci target is a common targetzone for a wave „5“, no matter which degree.
I am not sure if this is the top shortterm, it could be possible to rise with some more up divisions to complete, what, at the other hand, would negate the candle formation.
For the shortterm we can state following. As long as the high at 29010 is valid the shortterm trend is down and will be confirmed by breaking the lower boundary line of the (blue) trendchannel which is around 28750 area and a break of todays low..
On the other hand, todays low @28700 fulfill the request for a „flat-pattern“, may with one more lower low around 28676. This would be the level were wave „c“ = „a“!
As before. The structure of the rise from 27846.7 shows overlapping waves and indicate, to my view, that we are near the end of an uptrend.
If some interesting pattern develop, we will discuss it here immediatly!
Have a great week....
ruebennase
Hang Seng made a top (?) yesterday @ 29010 and achieved the lower range of the targetzone as of my last analyse. It formed a kind of „doji“ which to interpret by todays bear candle is likely an „evening-star“. A formation as it occurrs at trend reversal points.
At 29010 HS also had resistance by two Fibonacci level as I wrote before. The .618 of the wave „i“ (blue) and the FibExtension of wave „i“ and „ii“ @ 28921.8, which is marked red at chart.
The first Fibonacci target is a common targetzone for a wave „5“, no matter which degree.
I am not sure if this is the top shortterm, it could be possible to rise with some more up divisions to complete, what, at the other hand, would negate the candle formation.
For the shortterm we can state following. As long as the high at 29010 is valid the shortterm trend is down and will be confirmed by breaking the lower boundary line of the (blue) trendchannel which is around 28750 area and a break of todays low..
On the other hand, todays low @28700 fulfill the request for a „flat-pattern“, may with one more lower low around 28676. This would be the level were wave „c“ = „a“!
As before. The structure of the rise from 27846.7 shows overlapping waves and indicate, to my view, that we are near the end of an uptrend.
If some interesting pattern develop, we will discuss it here immediatly!
Have a great week....
ruebennase