Saudi Share Market: Tadawul All Share Index (TASI) Technical Analysis
In our previous review of TASI dd. August 9, 2016 we discussed a new retracement on 1-Hour and smaller time frames.
TASI on a 3-Hour chart shows a bullish correction which has a status of either a correction subwave within the bearish momentum C wave (plotted with an aqua line) or the 4th correction wave. If the bulls dominate on the market, this wave’s status may grow into a new momentum A wave on 3-Hour chart of a new short term trend.
If we switch to a smaller 15-Minute chart, we will see the situation on a daily and intraday levels. M15 shows us a momentum A wave up (drawn with an orange line) that was building during the last 4 days. Today we have a bearish B correction started.
A junior 5-Minute time frame allows us to understand that the orange B correction on M15 may have an inner structure of 3 waves at least on a smaller M5 time frame. Now we see formation of a complex bullish B on M5 in progress that might be followed by a C bearish impulse wave.