ASX200 index – potential for technical sell signal to be generated

The ASX200 index major resistance barrier is located @ 5996, a level which has now capped the market rally on three occasions this year. The potential has now emerged for a technical top /sell signal to be generated. Important to note that a further decline is still required on the ASX200 index to break the key support level and generate the technical sell signal. It is significant that the potential for an index sell signal to be activated has emerged at the same time as the first of the four major banks triggered a technical sell signal - CBA.