Wednesday, 26 October 2011

ASX 200 set to open lower

After hours trading is currently at 4181, down from Tuesday's ASX close of 4228. The market appears to have turned down again from the trend line. A move below the 40 day moving average around 4095 would increase the near term bearish potential.

Gold rallies to test trend line

Gold rallied strongly last night, and is testing the trend line drawn from the August low, parallel to a sequence of trend lines that have proven significant for Gold throughout the decade (see third chart here).