MLS Chart, page-78

EOFY sale in full swing

Yes MLS finished 5 pips down on 4.6c. Our volume was comparatively high, just under 18m shares traded.

ASX Li stocks were also very weak. Of the 43 stocks that I track, average decline was around 6%

What next - As I wrote on the weekend report, I expect stocks to be very weak for this week and bit of next week too. Overall market sentiment is at its lowest due to recession fears. On top of that ASX has to deal with EOFY sell. A very potent combination that may have the ability to push prices down - and that's what we saw today. Tonight US markets are closed. So no direction for tomorrow as well. The only two things that can help the downward slide - if US markets do well for few days (yes, few days, one day rally may not be bought) or bargain hunters snap up the cheapies. At this stage, recession fears mean very few punters are putting up their hand to buy the dip. But that could change in a few days. I myself was very tempted to buy stocks but restrained myself. As I wrote on the weekend, I am thinking late this week or early next week could be the time. But it may go up if US stocks do well. But I will be happy to buy higher as it means my current holding will go up. I don't think in this environment its possible to pick up bottom, so what ever suits an individual. My gut feel is we are getting closer towards bottom. As I wrote on weekend, of what I read if things improve, there was to be say another 10% (or 15%) decline from Friday. We have copped some today. But that theory is if things improve - a big if. It can though continue to be choppy if general market does not improve. Lets hope we make some gains tomorrow so that there is still some room to play at these levels without going further down. All the best.