South Korea’s Seoul Composite Index continues in a strong up-trend despite the nuclear threat from its northern neighbor. The latest retracement appears mild and likely to test the rising trendline around 2450.
Japan’s Nikkei 225 Index also retraced but the long tail on this week’s candle indicates solid support at 22000.
Hong Kong’s Hang Seng continues in a strong bull trend, with the Trend Index respecting the zero line.
China’s Shanghai Composite Index is consolidating above support at 3340. Bearish divergence on the Trend Index warns of selling pressure but this appears to be secondary in nature, warning of no more than a correction.
India’s NSE Nifty Index is also in a bull trend, with the Trend Index respecting zero. Respect of the rising trendline is likely and would signal a fresh advance.
Target 10000 + ( 10000 – 9000 ) = 11000
Moving to Europe, Dow Jones Euro Stoxx 600 shows a stronger correction, with bearish divergence on the Trend Index warning of selling pressure.
The UK’s Footsie displays a stronger bearish divergence and the index is likely to test primary support at 7200.
The S&P 500 displays a strong bull trend but penetration of the rising trendline is likely to lead to a correction to 2500.