AGE Daily Report, page-439

When will next leg start ?

Yes AGE gained 1 pip to finish at 5,1c. Our volume was moderate - just over 15m shares traded. Still trading in same range, similar volume - may be after few days that will change
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ASX U stocks were weak without collapsing. Of the 28 stocks that I track, average loss was 3%
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Overnight US U stocks were also not wanting to go up. Average loss around 2%. U Futures had a big drop of $3.75 to finish at $69. This is the first major drop in close to 3 months..
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So what is happening? Suddenly it looks like something is pulling it back. Did it up go too fast? Not sure. But certainly I have been saying for some time that prices have run away like an euphoria state which I have found is not sustainable. Maybe we are seeing correction to that. Spot price also falling after going in a straight line for couple of months. Some reality check maybe. But certainly now it is in an unknown territory. When sector starts to heat up, big stocks move first then others follow. Reverse is also true if sentiment is not good. Eg BOE fell 6% today but other big ones like PDN/DYL held - so there is still a good chance to try to hold this level..
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What next:
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Yesterday SP 500 had another good day, now few greens in a row. It gained around 0.4% to finish at 4376 near the day's high. ASX though was not buying it and finished nearly flat
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So SP 500 still going in the right direction. Next key levels are 4380/4400, but more important 4450 where it spent couple of weeks when coming down. Downside, anything over 4300 is good, and over 4200 keeps the hope alive of upward trend to continue. .
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Lead indicators are mixed. VIX, Yield fell again, but Dollar Index slightly up. Bitcoin though is indicating that rally may not continue, its below 27k now
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Personally, I continued my slight exit from U sector. Last 2 months I was only playing here. But last few days not getting a good feel, as if price went up too high too fast etc. It may not crash but is in a test now. I thought I will wait to see where it stabilises and see a reversal and then come back, holding only one third U stocks now. Picking up some Li stocks now..
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So what will happen tonight? CPI data and Earnings report. PPI did nothing. But we need a boost, suddenly analysts sentiment is weakening as if we may do a short top here, seasonality factor in play as well - October second half usually we bottom for the year. Tonight a test to see if SP 500 can keep its green days and get over 4400. Will that happen?. Lets hope so. All the best..