FeaturedMarket UpdateTechnical Analysis

The Nigerian Exchange All Share Index (NGXASI) Next Possible Trend.

The ASI price trend has so far displayed an indecisive move in it’s major trend direction in the last few days despite the recent Bearish move.

A quick view on the technical analysis

On weekly chart, the price downtrend tends to sit on the 50 level of RSI (14), this level can eventually act as a support level for the price. Price can either reverse from there or break below.

The possibility of price gaining again, would be analyzed on the shorter time frame.
On daily time frame, the bull flag has been displayed and as we know, a bull flag represents a bullish trend. But a confirmation is needed which will determine the uptrend in market.

On the 4 hours chart, price tends to move closer to the over sold level on the RSI. And a price rejection from the over sold level will ignite a confirmation of bullish move on the daily chart.

If the market eventually gains as a result of the signal on the daily chart, it doesn’t mean the entire market has recovered completely from the recently recorded bearish move, because there is a higher chances of market falling again as a result of the monthly chart still on the over bought level of the RSI and also the effects upcoming election have not completely phased out

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