Previously, my chart reading on SSE was inconclusive as my chart was not updated properly.
The Daily Chart is now showing a very bearish view for SSE.
1. Tenkan sen has cut Kijun sen on 13 August 2009
2. 2 days back, the price action has dipped below the kumo support Â at 2788
3. Leading kumo is now twisting, suggesting that the overall trend is changing from bullish to bearish.
4. Put the 3 indicators together, and none of them suggest a bullish view. (Unless SSE is able to rally all the way out of the kumo). If not, the bearish view will persists.
NOTE: Winston from InvestIdeas highlighted that my chart is outdated. Thanks. As of August 13, the support levels are no longer valid. SSE has break through the support.
The SSE has a huge run up since March, and more so since July.
From the Ichimoku Daily Chart, we can see that both the Tenkan sen and Kijun sen exhibits a very steep upward slope ( a sign of the strength of the bull). Â You can see that it is highlighted in yellow.
As it approach end July, the bulls rally slowed down towards end July and Winston highlighted a ‘M’ formation on the chart.
It could be a possible reversal. However, the Tenkan sen has not cut the Kijun sen yet. With both Tenkan sen and Kijun sen flattening, it may suggest a consolidation period rather than a reversal.
Possible Support: Â 3243 (Kijun sen) and 3216 (Chikou Span).