I dunno what it's all about, but a quick scan of the XJO thread - and it seems to be littered with self-abasement. hmmm. What's with all those stories we hear in the press about testosterone-charged, narcissistic, death-or-glory traders. hmmm. Maybe they're the ones I've got on ignore, and I'm just reading the posts of the nice people. Yes - traders can be "nice" too. hmmm. They don't come much nicer than AC. Or maybe - we should just ignore the press. That's a good idea. :)
Comment: Another narrow range day. 20-Day Relative Volume was on below average. A bit like yesterday – plenty of seesawing. The final result was a bit negative. Sell-0ff in the last hour took the market down to the intra-day low. That’s inconclusive. It may, in fact, suggest a bounce here, but I wouldn’t bet on it.
Technical Comment on the ASX200: The XJO finished at 4509.3. S/R:4438/4516. Back above resistance. Indicators: Stochastic: 86.5. Overbought. Below its signal line. Negative. RSI: 62. Below 70 and below its uptrend line. In a zone where risk is to the downside. MACD Histogram. Broke below zero. Negative. (But only marginally). MACD: Above zero. Positive. CCI: +89.1. Breaking below +100. Negative. All four indicators now provide a consensus “sell” signal. Doesn’t mean much until near term horizontal support is broken
Today’s action continues to suggest we’re in a consolidation phase. A decisive break below yesterday’s low might break the current consolidation to the downside. At this stage, the odds favour another upside move. But that might be the end of this movement. All hypothetical. Let’s wait and see.
I thought on the weekend that we might see a top in CBA. Two days ago we had a hypodermic needle – which suggests the stock had peaked. It needed confirmation of a big day down. We didn’t get it. Yesterday we had another big up day. Today, a big down day. The volatility is disconcerting. Often seen at tops. Let’s see how goes. It still hasn’t given anything that resembles a “sell” signal. It may not be far off. These things often take a while to play out. Longer than we think.
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