Monday, 12 January 2015

ASX 200 trending down since August peak, decline to below 3000 is just beginning

Daily chart shows the ASX 200 trending lower from the August peak. Momentum (MACDH) is setting lower peaks, so rallies are weakening, evidence consistent with a call for continued down trend.



Weekly chart shows the ASX 200 struggling for over a year around the 61.8% Fibo retracement of the 2007-2009 decline.



Monthly chart illustrates the Elliott Wave count that best fits market action in recent years. The count calls for a decline to below the low of 2009, likely a good distance below.



S&P 500 wrestling with trend line resistance, Friday's turn lower may prove key

Daily chart shows the S&P 500 wrestling with trend line resistance.



Hourly chart shows that Friday's turn lower broke trend line support and may prove key.