Weekend charting & chat - Dec 18th-20th, page-21

for the posters who are citing quad witch as the reason for last night and are claiming all is going to be rosy on Monday, please pay attention to a few underlying issues;

- Have a look at Dow Transport and its performance

- Have a look at high grade corporate bond spreads.. Hint widest I have seen them for the past 2-3 years

Now if you think Australian market will wake up on Monday morning and ignore the fact that we are flat vs a 600 pnt move on the Dow, ignore the uncertainty in Oil and simply do well because metals were firm due to the USD moves, you are taking a gamble and I would suggest your analysis does not present a good risk reward ratio.

Even if a Santa rally was to develop around the 24th, the market still has a better chance of going down to 4950 to retest the Chanel before a bounce