- The Kospi Composite Index has not traded above the 2,300 level for 5 weeks.
- The Kospi Composite Index has crossed the upper Bollinger Band® at 2,314, a potential sign that further gains are to follow.
The Kospi Composite Index continues a 6 day surge, reaping a total of 5.52%. Yesterday's session pointed in the same direction — the Kospi Composite Index recovered from the previous trading session's losses and went up to 2,335.22 yesterday after it traded lower at 2,297.57.
The index has been trending positively for about a month. The Kospi Composite Index hit a significant low of 2,155.49 around a month ago, but has since recovered 6.41%.
Investors are seeking long positions as KOSPI Composite Index price action surged above +100 — a key CCI threshold indicating an imminent bullish trend. Price action overcame a known Fibonacci resistance level at 2,283.45 by around 51.77 points with prices hammering out a 2,297.57 – 2,335.57 session range. The Kospi Composite Index has just crossed its upper Bollinger Band® at 2,314, suggesting further gains could be on the cards. On the other hand, note that although the Kospi Composite Index is appreciating today after rising as high as 2,335.57, price action is now slowing and consolidating around 33.72 points below the 2,301.5 resistance level.
Overall, looking at the technical analysis landscape, it seems the Kospi Composite Index might continue pointing upwards in the short term.
Other markets are also showing gains as Hang Seng is trading around 15,455 after ending yesterday's session at 14,700 (up 5.23% today). Notably, ASX 200 rose 1.65% yesterday and closed at 6,863.5. FTSE added 1.62% and closed around 7,094.53 yesterday.
Upcoming fundamentals: South Korea CPI (YoY) (Oct) will be released today at 23:00 UTC.