The index has crossed from the upper limit of the trend channel to its lower limit and is now very near to it.
On this level we also find the fib retracement 38.2%.
If it´s broken and the trend channel is left behind then HUI could continue to fall until the fib retracement at 23.6% (143 pt).
On the other hand, if the price rebounds from the lower limit then short term gains can be made.
Not to forget, there is a long trend line crossing the channel. Once above this trend line the index should gain strength.
Watching the indicators RSI and MACD I see little chances for the better scenario, because the long trends aren´t broken yet.
buy: only after the rebound with aim fib retracement 61.8% (214 pt)
stop / short: when leaving the trend channel to the bottom
On this level we also find the fib retracement 38.2%.
If it´s broken and the trend channel is left behind then HUI could continue to fall until the fib retracement at 23.6% (143 pt).
On the other hand, if the price rebounds from the lower limit then short term gains can be made.
Not to forget, there is a long trend line crossing the channel. Once above this trend line the index should gain strength.
Watching the indicators RSI and MACD I see little chances for the better scenario, because the long trends aren´t broken yet.
buy: only after the rebound with aim fib retracement 61.8% (214 pt)
stop / short: when leaving the trend channel to the bottom