China HongX 030708

The Abandoned Baby or Morning Doji Star did not materialise after China Hongxing had formed the Long Legged Doji on 27 jun. Instead, we saw China Hongxing trading sideways, supported by the uptrend support (low blue) and limited by the downtrend resistance (upp pink).

You can see from the chart that the general sentiment of the market is still very weak as China Hongxing always closes below the downtrend resistance (upp pink).

We could see some action tomorrow as the downtrend (upp pink) meets the uptrend support (low blue) at around the 0.435 level. If that breaks, we could see China Hongx revisiting the year low of 0.405 it hit on 20 mar, which is about the level indicated by the long term downtrend support (low grey).



For tomorrow :

Support @ 0.4355 (upp pink, low blue), 0.395 (low grey), 0.385 (low pink)
Resistance @ 0.4605 (mid blue), 0.480 (red --), 0.515 (upp blue), 0.520 (upp grey, pink --)

Hope you find my analysis helpful. Thank you for your support !!