the question is .. should one be covering their shorts.i think...

the question is .. should one be covering their shorts.
i think not. hopefully the US market will accelerate to the downside tonight and leave the market holding its collective breath going into Friday night.

foreigners own in excess of 40% of the aussie market and one needs to look at stocks from the point of view of someone who has currency risk being in the AUD. and what's been going on with the AUD this week? well it's received a right kick in the slats. and tonight it will probably get another as foreigners take their chips off the aussi table.

the thing is the shorts have control of this market and everyone who is long has got direction wrong. until they cover and hopefully at a big futures discount, it's going down.

re the XJO ...
the 4573 swing low looks like it may end up being a pivot and mark a midpoint of this swing down before any appreciable retracement. who knows. but that would take it near the August swing low at 4260.