Early results put market under pressure
12.30 pm A weak session so far, down 47 points despite early strength in the SPI and the overall market. Transurban and James Hardie are two of the majors to report today and both are under pressure.
My medium term positions are down about 1 to 2% and active trading isn't much better. I've been short a few things and that has helped but bought them back a bit too early.
One stock I was interested in last night was Alumina. The alumina price rallied overnight and AWC is up 3 to 194 in a falling market. Long at 192.
3.16 pm The suggestion today has been that the selling is an offshore portfolio. The market itself has rallied somewhat and the index is down 36 points. The constricting range we've been in for 8 weeks is still in place but if today's low holds, it's another potential higher low within that range and the prospect is of a break to the upside. Perhaps if we were to have a decent result from one of the majors, the rally will be on.
Here's the daily chart of the ASX 200 index.
3.45 pm Interestingly the oil stocks have recovered reasonably well. ORG is only down a couple of cents now and STO down 5 to 342. I bought some STO earlier at 344, prematurely obviously, as they fell to 337 and for a moment it looked as if a short term peak was in place. The recovery is encouraging and having tested lows, the stock continues to look pretty bullish.
4.17 pm A reasonable recovery left the index down 30 points with the SPI continuing to rebound after the match. ORG actually closed up a cent. I sold out at 729 as I'd bought some a bit lower and decided to focus on STO which finished at 343.
I still have GXY but have to make a decision very soon. Down 2.5 c to 197.5. AWC finished at 193 and I kept some and bought CYB on the close at 478. CYB reported well last week and after a consolidation looks ready to rally some more.
My medium term positions are down about 1 to 2% and active trading isn't much better. I've been short a few things and that has helped but bought them back a bit too early.
One stock I was interested in last night was Alumina. The alumina price rallied overnight and AWC is up 3 to 194 in a falling market. Long at 192.
3.16 pm The suggestion today has been that the selling is an offshore portfolio. The market itself has rallied somewhat and the index is down 36 points. The constricting range we've been in for 8 weeks is still in place but if today's low holds, it's another potential higher low within that range and the prospect is of a break to the upside. Perhaps if we were to have a decent result from one of the majors, the rally will be on.
Here's the daily chart of the ASX 200 index.
3.45 pm Interestingly the oil stocks have recovered reasonably well. ORG is only down a couple of cents now and STO down 5 to 342. I bought some STO earlier at 344, prematurely obviously, as they fell to 337 and for a moment it looked as if a short term peak was in place. The recovery is encouraging and having tested lows, the stock continues to look pretty bullish.
4.17 pm A reasonable recovery left the index down 30 points with the SPI continuing to rebound after the match. ORG actually closed up a cent. I sold out at 729 as I'd bought some a bit lower and decided to focus on STO which finished at 343.
I still have GXY but have to make a decision very soon. Down 2.5 c to 197.5. AWC finished at 193 and I kept some and bought CYB on the close at 478. CYB reported well last week and after a consolidation looks ready to rally some more.
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