The XJO closed sharply lower on Friday, where price broke...

The XJO closed sharply lower on Friday, where price broke clearly below previous support levels.
Spread and volume both increased considerably.
Selling today was likely stronger than the usual 'last day of the month' trading.
Watch for the response next week to properly confirm, however at this stage it looks like price may have broken down.
I expect we (finally) saw the response to the increased supply that was drawn out on Tuesday.
That supply was always likely to be a concern.
I also mentioned (on Wednesday) that although the increased supply was initially absorbed, it would not have gone unnoticed by other professionals in the market, and inferred it could perhaps trigger others to consider (or perhaps reconsider), their positions.
I expect we are seeing the market response to the ongoing (or worsening) Coronavirus issues across the country, and in Victoria in particular.  There is some suggestion the Victorian government could instate a hard lock down if they can't get on top of it.
Personally I have never expect it would easily be fully controlled, or eliminated.


Weekly charts later tonight

cheers

.