XAO UPDATE 26/08/2015.

Close of the last candle ( today ) is not an EOD but XAO closed around the high of the day @ 5178.90 according to the data which I have. Please confirm the exact close with your charting software once EOD data is received if you wish.

Low of yesterday is now marked as PST ( Preliminary Support). It may change to SCLX (Selling Climax) down the track, if it is confirmed by the subsequent price action in the next few weeks.

From the last leg down I have put the Fibonacci retracement tool, which each retracement level shown should act as a RESISTANCE. Any which clusters with the price resistance becomes more significant. 38.2% is the first resistance level which also clusters with the DOWN TREND LINE to watch. If we see a violation of the DOWN TREND LINE, I would then call that a PRELIMINARY STOP to THE TREND in effect, which is down on this daily chart. Not a reversal.

Most notable resistance zone would be the 50-62% retracement zone which clusters with the prior price support now turning resistance, making it an important zone of resistance. That is 5325-5415 zone.

For now, we are watching this counter – cyclical rally and waiting until we mark our short term resistance, which will set the boundaries of the anticipated TR (Trading Range) in the weeks ahead.

It is also good to see the LONG TERM SUPPORT restored very quickly and respected today.

As to what happens/may happen tomorrow, we deal with it then.


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