SSEC (Shanghai) (2856): In recovery mode…
Intermediate trend: Bearish
In the previous review (24 June: Value 2831) I said” the reversal in the bearish trend is unlikely; for the extreme short term trend a close above 2945-2955 is must(difficult), if done, expect trading bounce towards 3200 region”.
Since then, the SSEC index had dipped to 2566 and in recovery efforts seen thereafter, on 10th July, it achieved a high of 2952 i.e. barely 3 points away from our resistance level of 2955.
The index has seen some positive efforts in the last 6 trading sessions and also recovered from the lower “equidistance” parallel channel. Expect continuation of the corrective uptrend, if able closed above 2955, towards 3200 area. Else, range trading in 2850-2700.
