CSE ASI & SL20 | Inverted H&S
After finding support from Fibonacci retracement levels 0.382 (SL20) and 0.236 (ASI), both indices are now heading towards their previous higher high levels to potentially retest them. This could create inverted head and shoulder patterns, where a breakout above neckline (9,415 ASI and (2875 SL20) leading to a potential much stronger uptrend.
Although there is a bearish divergence on the Relative Strength Index (RSI) on the All Share Index, and the S&P SL 20 being at the trendline resistance, an invalidation of the divergence and a break of the trendline on both RSI indicators is expected with a strong bullish move in the next trading day.
Disclaimer: This chart and analysis are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations. Do your own due diligence before trading or investing in this stock.
Although there is a bearish divergence on the Relative Strength Index (RSI) on the All Share Index, and the S&P SL 20 being at the trendline resistance, an invalidation of the divergence and a break of the trendline on both RSI indicators is expected with a strong bullish move in the next trading day.
Disclaimer: This chart and analysis are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations. Do your own due diligence before trading or investing in this stock.
All Share Price Index closed above the neckline completing the inverted head and shoulder pattern.
Bearish divergence on both indices have been invalidated with the upward move made by both indices today.