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 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NOTE: Winston from InvestIdeas highlighted that my chart is outdated.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 As of August 13, the support levels are no longer valid.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). 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: 3243 (Kijun sen) and 3216 (Chikou Span).