ASX 200 Technical Analysis: Nascent Uptrend Looks Worth Playing

ASX 200 Technical Analysis Talking Points:

  • The Australian stock benchmark has bounced at key support
  • Since then it has build a respectable uptrend
  • This looks as though it might stick around

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The ASX 200’s September bounce at key support has been the platform for a minor but notable fightback, which could well see further gains yet.

That bounce took place on September 7. The intraday low of that day was 6095.5, a point which probably not coincidentally is also the second, 38.2% Fibonacci retracement of the rise up from the lows of mid April to the double highs of August and September.

ASX 200 Technical Analysis: Nascent Uptrend Looks Worth Playing

The daily candlestick for that session evinced the small difference between the open and the close, eclipsed by a much broader intraday range, which can be characteristic of a change in sentiment. So it proved with the trading sessions since forming a nascent but already quite well-respected uptrend channel.

ASX 200 Technical Analysis: Nascent Uptrend Looks Worth PlayingArticle source: https://www.dailyfx.com/forex/technical/home/analysis/aus200/2018/09/18/ASX-200-Technical-Analysis-Nascent-Uptrend-Looks-Worth-Playing.html