nova star's jockeying for position thursday, page-23

In Australia:

Twenty Leaders -0.4%
50 Leaders -0.5%
XJO -0.5%
Small Ordinaries -0.9%
Financials -0.4%
Materials -0.7%
Consumer Staples -0.7%

Comment: A weak day on low volume. I think it’s best to forget about the past two days. Low volume has allowed the boyos to push the market around. Yesterday it was up. Today it was down, and the market finished weakly.

The best performer today was a Defensive – Telecoms, up 0.5%. The worst performer today was a Defensive – Health, down -1.4%. So market structure is not telling us much either. It’s interesting though – Health usually responds positively to a weak Ozzie Dollar, and negatively to a strong Ozzie. I can’t see much action in the exchange rate today to explain the big drop. So something else was happening. I don’t have the resources to figure it out. But – it does appear bullish for the more aggressive sectors of the market (read Materials and Energy).

Technical Comment on the ASX200:
The XJO finished at 4359.8. Support resistance: 4261.7/4383.7.
Indicators:
Stochastic: 65. Positive.
RSI: 54. Positive.
MACD Histogram. Above zero. Positive.
MACD: Below zero. Negative.
CCI: +13. Positive.

The medium term trend is up. The short term trend is up.

The 10-Day EMA is above the 20-Day EMA. It wouldn’t take much to make a negative cross-over. It wouldn’t take much for the 10-Day to start zooming away from the 20-Day.

The Bernank speaks at 2.15 p.m. New York time. I’m expecting a big surge one way or another. Just for once, I feel sure that my expectation of the market will be fulfilled. Which way? Ask The Bernank.

Redbacka