Laugh and get Rich Thursday, page-7

XJO up today 0.75%.  That’s a bit disappointing.  The big draw-back was the Big Four Banks which all finished on the negative side.  CBA reported today and set aside a big stack of money for possible sanctions arising from a variety of past misdemeanours.



Today’s candle has a big upper tail – that is indicative of the selling that occurred in the Four Big Banks.

We may have seen a low in this pull-back. That doesn’t mean we’re going to get a straight arrow shot to the upside.  We’ll see a bit of shuffling around at the lows before a move (probably) to the upside.

Two sectors seem to be unambiguously positive – Consumer Discretionary and Health.  Cautious involvement in those sectors might pay off.

Otherwise care is advised.

Just remember – the American market is not necessarily an indication of where our market will go.  We have a very different economy and stocks here have their own peculiarities.

RB