#FTSE #Nasdaq Despite the nation being notorious cheats (at sport) Australia, boasts a stock market which pretty well plays by the rules. Unfortunately, the last few days saw the market climb to 6850 derailed, probably just delayed, as the rest of the world decided something had spooked the markets. We’re not entirely confident the gates of hell actually have opened.
At times, things felt like; “the Saudi Oil Panic didn’t work, let’s try something else to slow things down!” This, of course, would be utterly ridiculous, would it not?
In the case of Australia and its ASX200 index, the market need only exceed 6555 points (6502 at time of writing) to give the first suggestion of bottom being “in”. Such a miracle allows a surprise recovery cycle to an initial 6697 points. If exceeded, secondary is at 6800 but, the big picture almost demands the market top out at 6850 points.
This is why we like Australia, thanks to the usual integrity of movements. If the index ever closes above 6850 points, a Big Picture cycle is expected to commence toward a long term 8825 points!
For now, we shall not be entirely aghast if it finds an excuse to bottom around the 6443 point.
FTSE for FRIDAY Closing the session at 7078 points, we shall be quite interested if the UK index manages above 7128 on Friday. This is liable to be significant, allowing recovery toward an initial 7184 points with secondary, if bettered, at 7214 points.
Our emergency commentary in our previous report proved worthwhile, if somewhat weird. We’d suggested the market would probably bottom at 7027. For those willing to cross their fingers and enter at such a level with a Long, we’d proposed a stop down at 6982 points. The market hit our target, bounced a little, dropped below target, bounced and again reversed to target. Then bounced properly to 7100 points. All it now needs is above 7128 and we’ll start to suspect bottom have been achieved – for now.
Remember, of course, the UK has a secret volatile weapon called Boris, capable of havoc.
Below 6982 points risks reversal in the near term down to 6950 points. If broken, secondary is at 6900 but to be realistic, it could drop further to a “must bounce” bottom at 6750 points.
On the chart, we’ve painted a Red uptrend. In honesty, we doubt uptrends or downtrends for the near term hold any real meaning at present.
|
Time Issued |
Market |
Price At Issue |
Short Entry |
Fast Exit |
Slow Exit |
Stop |
Long Entry |
Fast Exit |
Slow Exit |
Stop |
Prior |
|
10:05:01PM |
BRENT |
57.54 |
‘cess | ||||||||
|
10:08:17PM |
GOLD |
1505.77 |
Success | ||||||||
|
10:14:33PM |
FTSE |
7125.08 |
7003 |
6979.5 |
6929 |
7099 |
7130 |
7156 |
7207 |
7060 |
‘cess |
|
10:17:28PM |
FRANCE |
5466.5 |
Shambles | ||||||||
|
10:19:37PM |
GERMANY |
11980.2 |
Shambles | ||||||||
|
10:23:00PM |
US500 |
2913.02 |
‘cess | ||||||||
|
10:26:55PM |
DOW |
26216.2 |
‘cess | ||||||||
|
10:51:36PM |
NASDAQ |
7646.62 |
7459 |
7430 |
7358 |
7576 |
7650 |
7658.5 |
7687 |
7569 |
‘cess |
|
10:53:55PM |
JAPAN |
21353 |
Success |