After breaching
key support at 5700, the market has not made much progress. The penetration was
not followed through and in its place, strong buying came at point 1. The same
story happened again today where buyers step in after yesterdays weakness. The
difference is that this time around, we have diminishing supply as indicated by
declining volume. The balance of power between demand and supply is
inconclusive at this moment, but given the repeated failed attempt from the
sellers, I’d say smart money is on the demand side for now, but this is not to
say that they are bullish. They have to support the market even if they are
bearish to hold control of the market.
PS: For
educational materials on advanced technical analysis and my quest on
establishing the link between corporate finance, valuation, and stock market
with real cases, please visit: https://perspektif-saham.blogspot.com/
