I'm not usually bias to any particular direction and just trade the current trend, however I wouldn't be surprised if the ASX could potentially be in for a correction( testing the lows at 5072 & 5037) . I'm by no means convinced of this, or even saying it's going to happen yet, HOWEVER if certain lows are broken( see rough image below) and attempts by price to retake the upside are short in duration(2-4 bars) & off smaller volume, then i'll definitely be looking towards company's on the ASX 100 with the intention to go short...
I went through the ASX100 this weekend and pulled out about 20 stocks that could POTENTIALLY( by my interpretation) be forming the same type of bearish formations as the All Ords. If some of these patterns actually eventuate, and also meet the rest of my entry point criteria, then in this thread i'll post some proper TA on the trades I take short. Price structure/ or pattern of trend is just the first part/ foundation of my analysis.
Once again, I'm not necessarily saying the market is coming down, however i'm just 'preparing" myself for the opportunities that might arise if it does. Also, any potential trade i'm looking at probably won't eventuate until the start of July, and out of the all the potential trades above, only 3-4 might actually end up being trades...
Feel free to add any other potential shorts to this thread.
