Australia 200 (ASX 200) Consolidates

While most stocks and futures are heading upward, the Australia 200 market has failed to get the same windfall. As such, bears have been able to hold the market below a key technical level. Will the new week bring a breach of the resistance? Let’s try to find out below.

Key Price Levels

Resistance: 9,000, 9,500, 10,000

Support: 8,500, 8,000, 7,500

Australia 200 Faces a Brazen Wall

Throughout the previous week, the ASX 200 market has been held under a technical confinement. The last price candle on the daily chart has appeared bearish but continues to hug the 9-day Exponential Moving Average EMA from below.

Also, the Stochastic Relative Strength Index SRSI indicator lines recently delivered an upside crossover but converge at the tip. This seems largely due to the bearish exertion displayed by the last price candle on the chart. Technically, this may signal a steeper fall in this market.

ASX 200 Bears Are Marching On

Looking at price activity in the Australia 200 market, we can see that from the daily chart till here, price activity has advanced further below the 9-day EMA curve. The last price candle here looks more conspicuous and red.

In addition, it could be seen that the lines of the SRSI indicator have fallen further into the oversold region. While this seems more than the actual price movement, it still points out the fact that the market has a downward trajectory toward the 8,500 price level.

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