TASI index now teetering

The sentiment in the Saudi market has changed.

After seven consecutive weeks of gains, the main market index (TASI) saw a clear breakout, falling 3.85% over the past week to close at 11,109 points.

This was not just an ordinary descent.

Instead, it’s a warning sign.

What happened?

For weeks, the market continued to rise without any real pause.

This rise looks strong on the surface…
But it is fragile on the inside.

This weakness was confirmed last week.

The indicator encountered resistance at the upper border of the descending channel,

In short, the trend is out of control.

What to do next?

Currently, the market is under pressure.

After being rejected by the upper border of the descending channel, the trend started tilting towards the 10,500 – 10,400 area.

If selling pressure increases, the pullback may extend to the 10,100-10,000 range, where the channel’s lower limit lies.

But the most important point is:

The market won’t plummet.
We may see a brief rebound…
But the overall tone has changed.

Why is this week important?

Because we are no longer in the “buy on rising” phase.

Instead, we have entered the “protect your capital” phase.

Market behavior over the next few trading days will determine:

Is this just a temporary pause?
Or is it the beginning of a deeper adjustment?

What are investors doing now?

At this stage, discipline is more important than enthusiasm.

Chasing purchases now can be risky.

wait…
Stability monitoring…
And make sure the trend returns…

This is where the real advantage lies.