Technical analysis for Shanghai Composite Index is showing that the index reached 100% FIB extension of the last breakout on the daily and 4H chart around 3330 and formed a double bottom on the daily chart and tweezers bottoms on the weekly chart. This is an early signal for the resumption of the bullish daily trend. The focus now is on the high at 3479, if the price breaks above 3479, it will send the index higher toward, first 3575 and second toward the previous weekly high at 3731. If the Shanghai Composite Index breaks above 3731, it will send the price toward 4000.
On the other hand, if the Shanghai Composite Index breaks below the daily double bottom and below 3328, it will extend the bearish run toward first, the 1.272 FIB extension around 3260, and second toward is the 1.618 FIB extension around 3180.
Review our technical analysis for Shanghai Composite Index for 2021 targets.
Daily chart:
Weekly chart:
