TASI Technical Overview

TASI Technical Overview

Signs of support.

Although the weekly charts continue to reveal a Bullish trend, the current correction extended lower and is now testing the previous weekly bottom. Hence long term traders continue to remain neutral while waiting to see whether that level will be strong enough to contain downwards pressure. They shall therefore wait for clear reversal signs above 6710 that can only be materialized with a daily reversal pattern. However in the near-term, the market is showing signs of stabilization as the sell-off have slowed somewhat immediately after the drop below 6800, and a rise above 6965 will shift momentum in the short term to the upside. While a drop below 6850 will turn back focus to the downside opening the way towards 6710.