Ichimoku Market Update: Kuwait Stock Market Warning. November 2014, the Kuwait stock market changed its long term sentiment to bearish and started a major trend that went from 1140 to 765.00. Jan 2016, the market made a bottom at 765 and started to move upwards for a pull back.
In order for some of the downside movement to be recovered, a major pull back needed to occur. The resistance controlling whether a major pull back would occur is at 859.80. A number of attempts were made to break this resistance and start the major pull back but that never occurred. Here is a weekly chart provided by eSignal.
From the weekly chart, price tried to break the resistance but failed. Now, price is starting to move down the probabilities to retest the low are increasing drastically now.
Below is the Daily chart. Let’s see how the daily is influencing the weekly time frame.
The daily time frame sentiment is still not bearish yet but will be in a couple of days. From the daily, the next major support is around 817.00. This support is controlling whether price will retest the low or not. All the lower time frames are now setup to start a bearish trend so there is high probability o reaching this support in May/June.
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