TASI Slips Back to 11,000. What Comes Next?

The Saudi market came under pressure last week.

After four consecutive weeks of gains, TASI declined 1.82% to close at 11,033, giving back some of its recent gains and slipping back towards the important 11,000 level.

In our previous analysis, we highlighted that after the strong rally, the index could take a breather and retest the 11,000 zone, which had previously acted as a key resistance.

That pullback has now happened.

But the bigger question is what happens next.

11,000 is now the level that matters

TASI is once again testing the 11,000 area, and the reaction around this level could set the tone for the week ahead.

The recent rally has lost some momentum, but the index is still well above the major 10,400–10,500 support zone.

If buyers step in around 11,000 and the index manages to hold this level, the current consolidation structure could remain intact.

But if TASI decisively breaks below 11,000, the market could see another round of selling pressure.

What are the key levels now?

On the upside:

🔹 11,200–11,300 → Immediate resistance

This is the first hurdle TASI needs to reclaim to regain short-term momentum.

A sustained move above this zone could bring the 11,700–11,800 resistance area back into focus.

On the downside:

🔹 11,000 → Immediate support
🔹 10,500–10,400 → Strong support zone

A clear break below 11,000 could open the door for a move towards the 10,500–10,400 area.

So, what should traders do now?

This is not the ideal setup to chase the market.

After the recent rally and the subsequent pullback, traders should first watch how TASI behaves around 11,000.

If the index holds this level and forms a convincing bullish pattern, it could provide a better opportunity to consider fresh positions.

But if 11,000 fails, patience would be preferable as the index could move lower towards the next major support.

In simple terms:

11,000 is the line in the sand.
11,200–11,300 is the first hurdle.
10,400–10,500 remains the major support.

For now, traders should stay cautious and wait for confirmation rather than rush into positions.