Indices 08/07, page-48

Mixed data last night

We had great cpi data for the bulls
Again silence on the threads (bearish data & the threads would be flooded with end of the world posts)
Rate rises should definitely be removed from calculations now
As of last night, asx no longer pricing in rate rises (thankfully common sense prevails)

Small caps benefited the most
Up 3% overnight
Hopefully they can push for 2200/50 by the eom
They might get held up along the way for profit takers
Spx & nasdaq took a much needed breather & I think go nowhere for a few weeks as they consolidate
DJ tried to jump a fence but didn't take off
Again can push for 40500 in this new channel before they get stuck again

What will the xjo do?
Well, we have 5 large caps mixed with a million small caps
So it's hard to say
I would like to see 7960 hit before we try to sell
But I also think we get held up for profit takers
Maybe 7960 back to 7860 before a bounce back to attempt the new channel
Punish those who waited for the news to buy or after the green candle

Bulls need to get through 7960 to open my long waited 8200 channel
Xjo needs to close above 7930 today if it intends to do that soon
Otherwise we remain in the 7800 & 8000 range for this month & we have to wait for august to break through (check again next week to see if that changes)