ASI 3/12/239600 Support is being tested multiple times.
Positive - RSI breakout is now on retest line.
ASI is above all the LT- DMAs.
ASI trade ideas
ASI 3/5/23ASI has beautifully rejected the rising wedge and managed to close above it, while forming a inverted HNS pattern.
RSI has also broken the bearish divergence trendline and closed above it.
Next Major resistance will be at 9600, and if prices come down, 9400-9350 (trendline resistance become support) will work as a support.
Surprise rate hike of 100bps may not be as bearish as many think!
CSEASI - Upward movement to continue?ASI is setting higher support levels, breaking some of the key resistance levels. Higher highs and Higher Lows.
Overall sentiment is turning positive, with IMF Board approval about to take place.
LKR strengthening against USD and other foreign currencies
Rates set to decline
Inflation to adjust into single digit later
Economy is trying to back on its feet
Loss making SOEs restructuring to take place
Elections to strengthen the IMF arrangement with main opposition parties in unison trusting no way out other than through an IMF.
So 100bps hike to satisfy the requirement of IMF is only a mere arrangement to conclude the deal, hence "Bad News isnt Bad Anymore at CSE" knowing very well this would be the last hike agreed.
CSE ASI & SL20With both indexes finding resistance and the formation of bearish divergence on RSI, it is best to see how far both indexes will retrace down to make the higher low formations.
If the bearish momentum continues for the second day both indexes might find support around 10-Day moving averages around (9060 ASI) and (2780 SL20)
The most bullish scenario will be for both indexes to break above both resistance zones while creating inverted head and shoulder patterns.
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.
CSEASI - Megaphone Pattern Detected?Just noticed the Index has completed the Wave #5 of the bullish megaphone pattern.
I have drawn the new development today using white lines to make it more clear to you.
I did not notice if anyone in the community noted this pattern as yet.
For every megaphone pattern there should be a prior trend.
Prior trend is confirmed, and its bullish in this case, hence a short pullback to the support line 9135 can not be ruled out before continuity of underline trend.
As at this moment pattern is near the breakout from the resistance level of 9300.
This is no ordinary resistance by the way. And a not so difficult to break out either :)
This has 50% outcome of being, good or bad. Simply because near the resistance level we never know the outcome as possibility to end as failed pattern.
We can not rule out this will be a failed pattern as well, simply assuming current resistance points. The pattern has rallied the bulls to give another momentous opportunity to break the shackles and go to one level up towards 9600.
Wishing good luck to all the bulls.
#CSEASIThe index has past resistance around the 9300 mark. The ST bull flag has broken out near the 9300, but not quite yet successfully though. A possible flag and pole pattern break out indicate a possibility to the Index finding resistance around 9600. Support wise there are 2 levels marked in red horizontal lines below current levels. Presently the Index on a pullback to the top of the flag, and should see a break out or a break down to the immediate resistance or support. My biase is bullish due to the flag and pole pattern.
CSEASI9300 Resistance has failed to breach. Flag and Pole pattern failed to materialize. support 8800 has now turned resistance. immediate turnaround is expected around its interim support of 8500. Failure will push the index to a long-term support of 8100-8000. Indecision about holding the LG election is also contributing to the downside coupled with Electricity tariff hike approval by PUCSL.Not the ideal time to go bullish but cautious approach to identify GEMS and pick carefully.
ASI - 06.02.2023Please Note: This is for educational purposes only
ASI made a high of 9197 on 03.02.2023. Let's watch how the index is behaving within the highlighted areas. Let's also watch the next swing low formation.
RSI need to breakout above the resistance line given there. Let's watch that too.
