XAO Technical Analysis

[Gringotts Bank]

I think so too jeff. Big up day due. Banks leading the way.

Looking mainly for oversold stocks as the main movers for this short run.... if it happens that is.

Maybe mining and engineering services. What sector can bounce hardest?

 

[tech/a]

4660 Likely for this move.

Boom Boom.

 

[Gringotts Bank]

Boom Boom.

Looks ok at the moment. How about another EW chart for a possible upside target? I'm thinking 4800 absolute max.

 

[Chris45]

Boom Boom.

Congratulations! Your calls are very impressive.

6 months up and 1 month down is a fairly common sequence and we've had 6 months up to 15-May now 1 month down (nearly) to ~62% retracement ... Gann and Elliott working well together so far.

 

[Gringotts Bank]

I think so too jeff. Big up day due. Banks leading the way.

Looking mainly for oversold stocks as the main movers for this short run.... if it happens that is.

Maybe mining and engineering services. What sector can bounce hardest?

WOR, DOW, ANG, SKE, LEI all did well.

 

[mr. jeff]

I have closed my short on QBE and looking for the reversal of the XAO to resume trend down towards 45 - 4600
Bit dangerous at this stage with no obvious short term overhead resistance until 4800.
Comments from US Fed coming as well which can affect the market.

 

[Gringotts Bank]

I reckon there's another ~40 odd points in it to 4787.

 

[mr. jeff]

I reckon there's another ~40 odd points in it to 4787.

You picked it right on the money.
I have picked up a short and looking for a retrace shortly.

 

[qldfrog]

tech.a what is your position on today's surge???
I actually closed some looser (better today than yesterday with 2.7% up) and bought some cheaper BEAR.
have we seen the bottom or was it a nice chance to exit

 

[coolcup]

In my view, the recent price action on the ASX 200 confirms that a sustained break above resistance at 5,000 remains unlikely and that the medium term trading range of between 4,000 and 5,000 points remains intact. In the absence of damaging news out of Europe, Japan or the US, the market should trade in the upper half of that range. I only see the correction deepening to the bottom half of the trading range if a further "credit" event occurs or if the pace of the wind-back in US quantitative easing (QE) is faster than expected. I still feel that the economic recovery in the US, while encouraging, remains tentative at best and I don't think Ben Bernanke would risk shaking the hard-won emerging confidence in that economy through a drastic reduction in QE.

 

[tech/a]

tech.a what is your position on today's surge???
I actually closed some looser (better today than yesterday with 2.7% up) and bought some cheaper BEAR.
have we seen the bottom or was it a nice chance to exit

Sorry just saw this.

Click to expand.

The ABC is in Green a little hard to see.
Where the current 1/2/3 are.




Concurring to a degree with Coolcup.

 

[Gringotts Bank]

4787 now = 23.6% retrace.

Looks like it has legs. Hope so. Big round number ahead.

 

[qldfrog]

thanks for the comments Gentlemen.
Time will tell ..

 

[Ves]

Sorry just saw this.

Click to expand.

The ABC is in Green a little hard to see.
Where the current 1/2/3 are.


View attachment 52833

Tech/A is this wave count valid as long as it stays under 4900 (wave 1 bottom)?

 

[tech/a]

Tech/A is this wave count valid as long as it stays under 4900 (wave 1 bottom)?

Yes.
Wave 4s normally start with a deep retracement towards 1
And ideally they form a triangular pattern.(Wave 4)
Really early days here.

 

[Gringotts Bank]

4787 now = 23.6% retrace.

Looks like it has legs. Hope so. Big round number ahead.

Round number broken is significant. I'll say 4871 now, which is 90% of the size of move of the greatest distance from the trendline on the down leg. What a shakeout this morning.imp:

 

[Muschu]

Yes.
Wave 4s normally start with a deep retracement towards 1
And ideally they form a triangular pattern.(Wave 4)
Really early days here.

Early days is an excellent way of expressing it Tech. How much of this little bounce is due to the financials? Is it possible, technically, to isolate this sector?

I see no good reason to jump into anything at this time. Mind you I am not a speculative investor.

Regards

Rick

 

[tech/a]

Early days is an excellent way of expressing it Tech. How much of this little bounce is due to the financials? Is it possible, technically, to isolate this sector?

I see no good reason to jump into anything at this time. Mind you I am not a speculative investor.

Regards

Rick

Blue is the XJO
Very correlated

 

[mr. jeff]

Yes.
Wave 4s normally start with a deep retracement towards 1
And ideally they form a triangular pattern.(Wave 4)
Really early days here.

Looks like the retrace is happening. Yesterday was unfortunately a surprise to me - over eager.
I expected the upswing to only last Friday.
Short was looking very threatened yesterday.
Now pulling back - whilst would like to see T/A's target in the mid term, looking for 4560 at first.

 

[sinner]

Early days is an excellent way of expressing it Tech. How much of this little bounce is due to the financials? Is it possible, technically, to isolate this sector?

I see no good reason to jump into anything at this time. Mind you I am not a speculative investor.

Regards

Rick

XFJ is the S&P ASX 200 Financials index.