TASI Just Bounced From a Key Support. Is the Recovery Beginning?

Last week, TASI gave investors something to watch.

After coming under pressure, the index bounced strongly from the 10,500 to 10,400 support zone and gained around 2.1% to close near 10,832.

But the bigger story is not just the weekly gain.

It is where the bounce came from.

The index recovered right from a zone where buyers have stepped in several times before.

On the weekly chart, we are also seeing a bullish engulfing pattern. Simply put, buyers came back strongly enough to overpower the previous week’s weakness.

That is an early sign that the recovery could continue.

But there is a catch.

TASI Now Has a Test at 10,900 to 11,000

This is the first hurdle the index needs to cross.

If TASI can break above 11,000 and hold there, the recovery could gather further strength, with the next important area around:

➡️ 11,400 to 11,500

However, if the index struggles around 10,900 to 11,000, we could see another pause or pullback.

That makes this week’s closing price particularly important.

So, What Should Traders Watch?

Rather than chasing the index after last week’s strong move, the focus should be on stocks showing strength and bouncing from important support levels.

The idea is simple:

Find strength.
Wait for confirmation.
Manage the risk.

TASI has shown that buyers are still willing to defend the market.

Now, the question is whether they have enough strength to push it through 11,000.