Wednesday, 25 July 2012

ASX 200 keep one eye on the big picture

Monthly candlestick chart shown below, as shown many times previously, just updated for recent action. It illustrates that the old bull market days are far behind us, and that the ASX 200 is declining in a bearish trend channel. If the June low around 4000 is broken, then in the medium term the mid-channel line may provide support at just above 3000. If the mid-channel line breaks, the bottom channel line may provide support at just above 2000.