Hi FolksEarlier I promised my traditional charts posts rather...

Hi Folks

Earlier I promised my traditional charts posts rather than my comparison bananas post.

I am going to break this down into two posts with the second to follow in the coming days.

All through 2023 I posted a series of descending waterline charts. The SP seems to splash a number of times along each waterline, with the occasional dip and dive below each waterline, but to return above in a matter of days. Then there is the eventual leak down to form the new lower waterline, Then invariably has a surge up to the old higher waterline, briefly.

All to see on the chart below. 6 different coloured waterlines, Orange 60.5, Blue 50, Green 40.5, Red 32.5, Pink 27.5 and finally Purple 16.5.

There was a big drop in percentage terms between the second last Pink and the last Purple. A big noticeable gap which prompted me to buy a trading parcel in my super with no CGT.

Notice that there is a mixture of lengths of the waterline. Two long ones Orange at the beginning and Purple at the end. Two short ones Blue second and Pink second last. Two medium ones in Green and Red in the middle.

Sort of looks symmetrical in some ways? No idea of what to make out of that.

Then we had the recent surge from the Purple 16.5 waterline all the way up to 53.5 with no sign of a pause at all.

Then downward short-term A-wave from 53.5 to 31.5 in a manner of days followed by very quick B-wave DCB 61% FIB back up to 45. Peak to bottom and then back up to the DCB only took 9 TD's to play out, so I consider it a mini ABC downwave pattern with the mini C-wave reaching 29-30.

The BRN SP certainly seems to like its waterlines. I have a blue rectangle on my chart and for the last two weeks its already bouncing around like in all of the previous waterlines with already one splash. The Quarterly report is in about 12 trading days so I am not discounting the possibility of this continuing to behave like its a new waterline.

If that happens it will throw the Bananas comparison chart out of wack. Maybe this waterline is like hitting the pause button while watching a movie to have dinner. Just speculating pending quarterly could be causing interference to the natural cycle of the SP.

Food for thought.

To be continued.

cheers Lies

PS if in the coming two weeks the SP spends some time below 30 ( a new recent low) then the comparison chart will continue to tick the boxes.