Testing support
Midday and the market is down 45 points, has been lower and is once again testing support around 5650 to 5700. I'm still agnostic as to where it goes from here. Ideally it would drop to 5600 or thereabouts and complete the catharsis but it could quite easily bounce again.
FMG is my biggest overnight position and that's unchanged although it opened higher. I'm reasonably positive and happy to stay with it.
1.47 pm I've been scoping out Worley Parsons for a few days and have bought some on the back foot.
WOR has had a choppy 5 wave correction from highs in May and while it's not a driving trend, there's too much overlap for that, this seems to be a reasonable support level.
This type of correction can reverse quickly and makes a good short term trade. Today's action is good, especially considering the overall market, and there has been a clear break of the highs of the last three days. I haven't gone too hard, I prefer to see where it closes and buy more if that's supportive.
4 pm The market stepped lower, finishing down 1%. WOR was flat on the day so I didn't add more, still quite positive. On recent performance we're likely to bounce tomorrow but I added a couple of minor shorts in CCL and QBE, too weak stocks that have had a minor recovery and slipped today.
FMG closed well at 531, up 4, and I'm holding them.
FMG is my biggest overnight position and that's unchanged although it opened higher. I'm reasonably positive and happy to stay with it.
1.47 pm I've been scoping out Worley Parsons for a few days and have bought some on the back foot.
WOR has had a choppy 5 wave correction from highs in May and while it's not a driving trend, there's too much overlap for that, this seems to be a reasonable support level.
This type of correction can reverse quickly and makes a good short term trade. Today's action is good, especially considering the overall market, and there has been a clear break of the highs of the last three days. I haven't gone too hard, I prefer to see where it closes and buy more if that's supportive.
4 pm The market stepped lower, finishing down 1%. WOR was flat on the day so I didn't add more, still quite positive. On recent performance we're likely to bounce tomorrow but I added a couple of minor shorts in CCL and QBE, too weak stocks that have had a minor recovery and slipped today.
FMG closed well at 531, up 4, and I'm holding them.
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