Case Study : DSEGEN INDEX

Some investors are afraid after seeing the today's sudden fall of 224 point. But I don't understand why they are afraid. A smart investor will alert when price/point hits their support zone and he will get out from the market when the price/point breaks the support. If individual share price hits the stop-loss, that is a different case.

Okay, pls. see the below chart. We will try to find a possible support comparing with our immediate previous experience.

As indicated in the chart, we first see that point has broken the (1) resistance line and then got a (2) support. After a successful uptrend, point has broken the (3) support line. Later on it has acted as our resistance line and two times point has touched that line (4 and 5).

Now, pls. enlarge the picture by clicking on the chart and find where is the support line and where is the index point. Best of luck. by JC