TSE 60 On the Move

One index that I watch from time to time is the TSE 60 Index up in Canada. It has been a solid performer in 2010 and broke out in September on the back of the global rally in stock shares. This rally was supported by the move in crude oil though over the past month, with crude moving sideways, this index has continued to climb higher.

In terms of the momentum ends of this model, accompanying the breakout in the candles above, both momentum indicators also also making cycle higher highs. In terms of momentum A (top model), the move past the 60% level argues that the more impulsive end of the move is about to arrive. With the momentum B model below regaining momentum, overall momentum is picking up steam.

In terms of a target, I am looking for the index to trade now towards the 13,200 to 13,700 level next.

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