asx chart

Hi Felow Posters

Chart attached... really interesting.
you can see how much resistance there has been at 4300....
massive but, the lows after each retracement have been higher and higher (the pattern is known as an ascending right angle triangle) suggesting and increasing urgency by the market to 'buy the dips'.

It looks quite positive really and i think we are likely to see a break of 4300 soon and a move to 4700/5000 by the end of the year. Volatility will remain and issue and it looks like the hedge fiunds are starting to pick on Spain... but i think a very slow recovery from Europe is well factored in now.

I'd be a buyer of blue chip names on a close above 4300.