Hang Seng Index

Hang Seng index broke out from the falling trendline in Friday's trading session and in today's trading session, it looks like it might close above the 40DEMA of 20766. This indicates that possibly wave c can now unfold. If that's true then at 23640, wave a and wave c will be equal. On the way down, 20DMA of 20323 and the swing low of 19890 will be crucial support levels to watch out for in the near term. The weekly Rohits momentum indicator is in bullish mode along with the daily timeframe which further supports the case of a deeper pullback in the near term.