David Fuller's view

Hong Kong’s Index remains exceptionally cheap with a p/e of 10.40 and dividend yield of 3.75%, according to Bloomberg, and is recovering from the political demonstrations against Chinese rule.  A close beneath 22,500 would be required to offset the outlook for further gains.  China’s Shanghai A-Share Index is also cheap at a p/e of 11.45 and yield of 2.78%.  A close beneath 2380 would be needed to delay higher scope over the lengthy medium term.

Taiwan’s TWSE Index saw an accelerated correction before this week’s upward dynamic put at least a temporary floor under the market.  A close beneath 8500 would be required to significantly delay sideways to higher ranging and a retest of historic resistance evident on this chart.

India’s National (Nifty 50) Index is a little overextended in the short term, but for perspective, not against the multiyear platform of underlying support shown on this chart.  A break in the progression of higher reaction lows remains necessary to check upward progress by more than a short-term reaction and consolidation. 

Australia’s S&P/ASX 200 Index has been recovering even faster than it declined but is now somewhat overextended in the short term.  Some resistance can be anticipated as the August and September highs are approached.  However, if most of the recent gains are maintained during a temporary consolidation, as seems likely, the medium-term outlook will remain favourable.

New Zealand’s All Share Index held at prior support near 1030 during a lengthy consolidation, before breaking to new recovery highs in the last two weeks.  A close beneath that level would be necessary to significantly a retest of the 2007 highs.