Potential shorting opportunities

Originally posted by Neo ↑

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.

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your analysis and charts are pretty well spot on I think Neo, and very much appreciated .....

my approach is very much the same yours in that i don't like to make forecasts without some confirmation in the price movement....
I keep referring to my two month trading band on the all ords...... with each day as i move the band forward in time the trend has very gradually been changing from slightly upwards, to level, and today just a tinchy bit downwards....

another sign of an upcoming downward swing is the increasing numbers of company floats for ASX listing - a common indicator preceding a market correction.

Australia has a greater dependency on china with its exports hugely biased towards iron ore exports, and I understand from an article in the fin review yesterday that some hedge funds are not only shorting our iron ore stocks but our banks and the all ords as well - as a proxy for shorting china .....

just heard on the news that iron ore is now down to under $90US / ton ...... so as I am writing, and with the knock on effect of current oil prices, I am beginning to think there is a likelihood of a good further drop in the aussie markets tomorrow, crossing the lower line of the trend band again, and adding even more downward pressure to prices ?????

so maybe after close tomorrow there could be something to see....guess we better get our short lists just in case..

GK.