Shanghai SE Composite Index (SHCOMP) Consolidates in a Tight Range, downward move likely

Azeez Mustapha
11 September 2020 | Updated: 11 September 2020

Key Resistance Zones: 3300, 3400, 3500
Key Support Zones: 2800, 2700, 2600

Shanghai SE Composite Index (SHCOMP) Long-term Trend: Ranging
SHCOMP is consolidating between levels 3200 and 3400 since July. Since July, it has been fluctuating in a tight range. The key levels of the market are yet to be broken as price continues to consolidate.

SHCOMP – Daily Chart

Daily Chart Indicators Reading:
SHCOMP is at level 41 of the Relative Strength Index. The Index is in a downtrend zone and it is below the centerline 50. The 21-day SMA and 50-day SMA are sloping sideways indicating the sideways trend.

Shanghai SE Composite Index (SHCOMP) Medium-term Trend: Ranging
On the 4- hour chart, the index is in a range bound move. The market is in a sideways trend. The price is fluctuating towards the lower price range. The index has been trapped between levels 3200 and 3400. The price is yet to break the key levels of the market.

SHCOMP – 4 Hour Chart

4-hour Chart Indicators Reading
SHCOMP is below 20 % range of the daily stochastic. It indicates that the market is in a bearish momentum. The 21-day SMA and the 50-day SMA are sloping sideways indicating the sideways trend. The index is now in an oversold region of the market.


General Outlook for Shanghai SE Composite Index (SHCOMP)
SHCOMP index is still trading between levels 3200 and 3400 since July. The market is on a downward move. If price breaks below the support line, the index may resume a downtrend



Note: Learn2.Trade is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
9
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
9
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit
9.8

Highly volatile unregulated investment products. No EU investor protection.

  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
9.8
  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
8.5
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
Share with other traders!
Azeez Mustapha

Azeez Mustapha

Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.