CI has just broken below its ST uptrend line

The CI has just broken below its short-term uptrend line at the 966 level while the daily MACD has also crossed down. This means that the market in the short-term is likely to enter a corrective phase (see Chart 1 below).

















Chart 1: CI's daily chart as at Oct 4

In a correction, the CI may find support from the horizontal supports of 950 & 938. The next possible uptrend line, which commenced on Jun 15, will also provide support at the 940 level. See Chart 2 below.

















Chart 2: CI's daily chart as at Oct 4

With this bearish outlook, I believe that investors & traders should be more careful in the market until the sign has changed.