Bearish Outlook for the SIMSCI Index
- Taking a look at the SIMSCI Index chart, we can see that price has been in a strong uptrend for the past couple of weeks, however, this week might see a change in the opposite direction.
- Price has hit the top of the trendline and has bounced lower, showing signs of resistance. This is further proven by the Fibonacci retracement level of 23.6% (red down arrow) that coincides with the trendline, signifying a strong resistance level for the SIMSCI Index.
- Looking forward, we can foresee price to continue its pullback to the next Fibonacci retracement level of 38.2% (green arrow).
- From there, if price was to close below the 38.2% level, further downwards momentum should be expected.
- However, if price does not manage to close below that level, we can expect price to continue its longer term bullish trend and make its way to the next resistance level near 360 (2nd red arrow).
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