Hang Seng...Sideways within a Triangle structure!?Hello Traders,
as to observe at the weekly chart Hang Seng is moving, more or less, in a sideways trading range, that is developing between the possible wave ((ii)) or (a) high @ 30280 and the low @ 24540! This is indicating a flat-pattern or at least a „Triangle-pattern“.
The latter one, which I have idealized at chart, gives us a forecast of what could be next to come.
While this week's move did not look complete, it is possible that HS needs some more down-up sequences to complete the structure within a wave (d) leg of the triangle. If so to come, HS will decline lower, but close above the wave (b) low @ 24899.90 level. After this target area will be achieved, the next move would occur to the upside within a wave (d). Both moves have to close below there previous waves. Overall, a period of sideways moving market is ahead of us.
As you know, a triangle pattern only occurs in a wave „4“ or „b“ or „x“ position and it marks the final sequence before a sharp move to the opposite side of the wave „e“ top/low occurs!
The important level for the triangle structure is the level of 24899. Any drop below this area would void the triangle idea!
As always, a lot of alternate counts do exist and we will wait `til the chart pattern tell us a clear story of what could be next!
Have a great weekend...
ruebennase
Feel free to ask or comment.
Trading this analysis is at your own risk!
