Technical analysis of the QSE index

Technical analysis of the QSE indexThe index closed slightly down 0.64% to 10,371.17 from last week’s close. Indicators flattened on such shallow movement and we await a strong move above the 10,650 to be on the safe side of the chart. Otherwise, the general index will remain trapped between the 10,000 support and the expected resistance level at the 11,500 level.Definitions of key terms used in technical analysisCandlestick chart – A candlestick chart is a price chart that displays the high, low, open, and close for a security. The ‘body’ of the chart is portion between the open and close price, while the high and low intraday movements form the ‘shadow’. The candlestick may represent any time frame. We use a one-day candlestick chart (every candlestick represents one trading day) in our analysis.Doji candlestick pattern – A Doji candlestick is formed when a security’s open and close are practically equal. The pattern indicates indecisiveness, and based on preceding price actions and future confirmation, may indicate a bullish or bearish trend reversal.