OMX_30 (STOCKHOLM) ; 10TH NOV 2019

US-CHINA trade optimism boosting the world’s wide stock market. OMX_30 is not also exceptional. But we have seen a lot of time, every December stock market rush into profit-taking. So we can expect some seasonal profit-taking ahead of charismas and 31st events.

If we see the chart closely, a rising channel from 2000 and 2016 is capped by right now. Every time the market falls back from this rising channel. So 1771 to 1800 will play as a critical swing zone for OMX_30. Initial support is at 1700 and a good place to rebound. If the market hold below 1700 than the primary target is 1647.67. Breaking below 1647.67 open the door for 1588.

If US-CHINA reaches to phase 2 deal than it is really tough to break out in 1588 than the market will rebounds from 1588 to 1700 to 1750-1.1777 again. On the other hand, if the US-CHINA deal is unable to reach to phase 2 deal than something bad will happen to omx30. Than omx30 may break below 1588 and the next target will be 1495 and finally, 1400 to 1405 is our final target.

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