S&P BSE SENSEX (999901.BO)

Short term

S&P BSE SENSEX has broken the falling trend channel down in the short term. This signals an even stronger falling rate. It also gave a negative signal from the head and shoulders formation at the break down through the support at 80983. Further fall to 76524 or lower is signaled. There is no support in the price chart and further decline is indicated. In case of a positive reaction, the index has resistance at 78600 points. RSI below 30 shows that the momentum of the index is strongly negative in the short term. Investor have steadily reduced the price to sell the index, which indicates increasing pessimism and continued falling prices. However, particularly in big stocks, low RSI may be a sign that the stock is oversold and that there is a chance for a reaction upwards. The index is overall assessed as technically negative for the short term.

Recommendation one to six weeks: Negative (Score: -96)

Medium term

S&P BSE SENSEX has broken through the floor of a rising trend channel in the medium long term. This indicates a slower rising rate at first, or the start of a more horizontal development. The index has broken a support level and given a negative signal for the long term trading range. The index has support at points 72300 and resistance at points 85800. RSI below 30 shows that the momentum of the index is strongly negative in the short term. Investor have steadily reduced the price to sell the index, which indicates increasing pessimism and continued falling prices. However, particularly in big stocks, low RSI may be a sign that the stock is oversold and that there is a chance for a reaction upwards. The RSI curve shows a falling trend, which could be an early signal of the start of a falling trend for the price as well. The index is overall assessed as technically neutral for the medium long term.

Recommendation one to six months: Hold (Score: 18)

Long term

S&P BSE SENSEX has broken the floor of the rising trend channel in the long term, which indicates a weaker initial rising rate. The index has support at points 62000 and resistance at points 86000. RSI diverges negatively against the price, which indicates danger of a reaction downwards. The RSI curve shows a falling trend, which could be an early signal of the start of a falling trend for the price as well. The index is overall assessed as technically slightly positive for the long term.

Recommendation one to six quarters: Weak Positive (Score: 29)