- Upward momentum including 0.23% gain insufficient to breach pivotal resistance level at 2,516
- Despite adding 5.72 points today, the Kospi Composite Index ventured below 2,507 (21 day Simple Moving Average) in earlier trade
While the Kospi Composite Index was in the midst of a 10 day downtrend— in which it lost a total of 2.89%— Yesterday may indicate a change of direction; after dipping down to 2,489.58, the Kospi Composite Index regained earlier losses and closed at 2,501.53.
The Kospi Composite Index has managed to gain 11.89% so far this year despite trading at lows around 2,155.49 previously.
KOSPI Composite Index reversed direction at 2,516 resistance zone and retreated back 14.38 points below it. Despite posting gains on yesterday, the Kospi Composite Index slid below its 21 day Simple Moving Average at 2,507 during the last session — an early indicator that a negative trend could be emerging.
The Kospi Composite Index is likely to reverse course and start pointing downward in the short term.
The Kospi Composite Index shows positive signs, other assets are also on par: Nikkei added 1.4% and closed around 28,458 yesterday. Dow Jones went up by 0.8% yesterday, and closed at 34,100. FTSE went up by 0.5% yesterday, and closed at 7,870.57.