Shenzhen Composite is sitting on support at 1230. To continue the uptrend, we need a bounce here, and a break above the descending trendline. On the other hand, a break below support will be bearish, with initial support around 1130, followed by 1070. Volume cues seem to suggest that this is a bull flag, which might resolve itself to the upside, after further sideways action. My last post on the Shanghai Composite called for downside, and we have seen it unfold. Watch this more bullish brother (Shenzhen) for clues to future action.
All the best!
Posts
