The main Egyptian stock index “egx30” is currently testing the resistance level at 10,840 points.
Breaching the previous resistance levels and the upper boundary of the descending channel is necessary for the continuation of the rise to 12000 points.
There is another chance in case the previous breach fails, which is to go back again to 10,000 points and form a possible inverse head and shoulders pattern.
On the other hand, the rebound from the upper boundary of the descending channel supports the decline to 9000 points, which is considered to be touching the major uptrend line since 2011. And more if it is broken! See the following chart.
Breaching the previous resistance levels and the upper boundary of the descending channel is necessary for the continuation of the rise to 12000 points.
There is another chance in case the previous breach fails, which is to go back again to 10,000 points and form a possible inverse head and shoulders pattern.
On the other hand, the rebound from the upper boundary of the descending channel supports the decline to 9000 points, which is considered to be touching the major uptrend line since 2011. And more if it is broken! See the following chart.
