Giving Tuesday

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Good Morning and Welcome to the XJO Tuesday Thread

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News for Today (AEDST)




The XJO closed lower on Monday, where spread was about average, volume was quite low, and the close was poor (and below the previous low, and at the day's low, which is generally not a great look).  
It appears the Index has taken the opportunity to come back and test for supply at the 5465.7 line.  This is a line which has proved to be at an important level on the chart, and one that has caused some real difficulties recently.   I note that this will be a test from above (which is a positive), and a successful test here will most likely see price continue to grind, or accelerate higher.....the next higher level of importance looks to be @5606.7.
That said, the (less likely, but not impossible) opposing view would suggest another price failure here, which would probably see the Index at least come back to the next lower line @5386.1 where price broke out on the 21st November and accelerated away.
Personally, I do not expect a full on price failure here, however it is probably about 50/50 whether we hang around this 5465 level for a day (or two), checking to see how much selling pressure will emerge, or if we will immediately produce a complete reversal bar on Tuesday (to do this price needs to close back above Monday's high @5507.8).






Good Trading and Investing

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