Tuesday, 1 November 2011

ASX 200 looks like a shot duck

In after hours trade the ASX 200 is at 4190, down from this afternoon's ASX close of 4233.
Shot duck? Why? Three reasons. (1) The upwards break of the trend line drawn from the April high was short-lived. A false break. (2) Last Friday the market made a brief foray over the corrective trend channel line at 4400, and turned lower. (3) The trend line drawn from the October low has been broken.

ASX 200 set to open lower

After hours trading is currently at 4232, down from Monday's ASX close of 4298. The ASX 200 has broken below the short term trend line drawn from the October low.

Last night's after hours decline in the ASX 200 was part of a general Undollar slump. The S&P 500 and EUR/USD also declined. Charts follow.

S&P 500