In America:Dow Industrials -1.57%Dow Transports -1.81%SP500...

In America:

Dow Industrials -1.57%
Dow Transports -1.81%
SP500 -1.5%
Russell 2000 -1.63%
Nasdaq100 -1.68%

Comment: Not as bad as yesterday, but hardly a cheerful day. It started off with the markets trying for a rebound and the actually were positive in early trading. It was all down hill from there. On higher volume ? but still lower than the five days of very high volume last week. But the trend is worrying.

NewHighs/NewLows came in at 7/279. The figure for New Lows is back to extreme panic levels.

The Materials Sector -1.6% and Energy Sector -1.77%. Those numbers hold no joy for the Australian market on Monday. All nine S&P Sectors were down, with Consumer Staples and Health Care (both defensive) doing the best. The Banking Sector was down, -2.93%. Semi-conductors was down, -1.78%.

Europe:
France -1.92%
Germany -2.19%
London -1.01%

Gold in U.S. Dollars is up +1.55%. Gold in Oz Dollars is up +1.3%. AUD/USD fell, +0.21% to finish at 104.08. That?s about the only bright spot today for the Australian market. EWA (the ETF for Australian shares) fell -1.24%.

Technical Comment on the DJ Industrial Average:

The DJIA finished at 10871.65. At major resistance around 11000. Next stop 10700.
Below the 13-Day MA. Negative.
Below the 150-Day MA. Negative.
Indicators:
Stochastic: 28.4. Below its signal line. Negative
The 13-Day MA is below the 150-Day MA. Long-term negative.
RSI.9 is at 32.7. Oversold.
MACD Histogram marginally below Zero. Neutral.
MACD below zero. Negative.
CCI.9: -99.3. Close to oversold.

10700 area beckons.

The French market (CAC) provides some hope that a bottom is close. Today saw some intra-day buying (long tail on the candle) and the chart is at support. Volume over the past two days has been high but nothing like the volumes seen last week. French banks have been the centre of much speculation and rumour in recent days with Societe Generale beeing picked out for special treatment. A bounce here on higher volume would be a big positive. But - the trend is down. Don't pre-empt the market.

Good luck
Redb