- Naranj Research Desk
Last week, the TASI opened right at its key resistance zone near the 11,700 level, a level that has repeatedly acted as a ceiling for the index. But once again, the bulls couldn’t push past it, triggering a mild pullback.
Looking at the daily chart, a clear pattern emerges:
After a major gap-down in early April 2025, the index gradually recovered and retested the same resistance zone — only to face a sharp rejection.
Following a few days of sideways consolidation, TASI made another approach in September 2025, but while it got rejected again, the decline was notably milder this time — a subtle sign of weakening sellers.
Fast forward to last week, the index tested the 11,700 zone for the third time and once again faced resistance — but this time, the pullback was even weaker than before.
This progressive reduction in selling pressure hints that bears are losing control, and a decisive breakout could be on the horizon. Once TASI clears this barrier with strong volume confirmation, it could unleash a new leg of bullish momentum in the Saudi market.
⚠️ However, until a clear breakout above 11,700-11,800 zone is confirmed, it’s wise to stay cautious and avoid premature long entries.