Daytrading November 4 afternoon

Thanks Oscar and morning crew.


Half-time round-up:

The ASX slumped to a four-month low and a fourth straight losing week after Wall Street recorded its longest losing run since the GFC.

At 1pm EST the ASX 200 was 35 points or 0.7% lower at 5191 and threatening a close below the mid-September closing low of 5208. Energy stocks led the retreat, falling 1.5% after crude oil fell below US$45 a barrel overnight. Also weak were financials -1.3%, metals & mining - 0.9% and gold -0.7%. Defensive sectors telecoms +0.2% and utilities +0.2% were the only sectors to improve.

The S&P 500 fell overnight for an eighth straight session, the US benchmark index's worst streak since 2008. The slide came as polls showed Donald Trump and Hillary Clinton running neck and neck ahead of next week's US presidential election.

“Markets are currently attempting to strike the right balance between the greater probability of a Clinton win and the possibility of a significant selloff on a Trump victory,” Ric Spooner, chief market analyst at CMC Markets, told Bloomberg. “The more the market falls in advance of the election, the greater the potential for two-way volatility and a significant bounce if Clinton does get up.”

A mixed morning in Asia saw China's Shanghai Composite and Hong Kong's Hang Seng both edged up 0.21%, while Japan's Nikkei tumbled 1.88%. Dow futures were recently up three points or 0.02%.

Crude oil futures rebounded 13 cents or 0.29% this morning to US$44.79 a barrel. Gold futures were $1.10 or 0.08% brighter at US$1,304.30 an ounce. The dollar was buying 76.92 US cents.


Ugly session so far, with little sign yet that the mid-September will hold. Index needs to recover from these levels or 5100 comes into play. If that goes, it's another 170 points down to the April low. The market needed a good enema, but this has taken us lower than I thought it would. Reaching the point where markets have fallen so far that there will be a relief rally whoever wins. Trading: busy old week, but conditions remain treacherous. In brighter times a fall of 10% gets my attention as a potential bounce candidate. This week I'm looking for nearer 15%. Wins so far in MYX, ERM and GPP. Still holding PSC and IDT.