The Australia 200 market has reached its highest level in five weeks, thanks largely to tech stocks bolstering performance. This has supported price gains in the ASX 200, keeping trading above the 9,000 psychological support level.
Key Price Levels
Resistance: 9,250, 9,500, 10,000
Support: 8,500, 8,000, 7,500
Australia 200 Stays Upward After Breaching the 9,000 Threshold
The ASX 200 daily chart has remained on an upward course since Tuesday. The market saw a significant leap on Wednesday as futures started trading above prior limits. The latest price candle places the current price above the upper band of the Bollinger Bands (BB) indicator.
Meanwhile, the Stochastic Relative Strength Index (SRSI) indicator lines are positioned high in the overbought region, with the leading line maintaining an upward trajectory. The main line of the indicator is now at the 100 mark, suggesting that buyers may still have a solid base to continue pushing higher.
ASX 200 Sees a Modest Bearish Pullback
On a smaller time frame, the Australia 200 market has shown a minor downward retracement. This pullback appears minimal and may be considered negligible, as price action remains well above the middle band of the BB indicator.
The latest red candle suggests that bullish forces are resisting further downward movement in the market at this time. The BB indicator retains its general upward trajectory while remaining well dilated.
The SRSI indicator lines are still above the 80 mark, though moving slightly downward. Nevertheless, the market still shows strong technical potential to advance toward the 9,250 price level.
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