Light at the end of the tunnel
12.01 pm The futures rose handily overnight only for the market to sell off again, falling to 5652 before finally bouncing so that the ASX 200 is now 5673, up 3. There could be some buying for the end of quarter and it will certainly be nice to move on to a new quarter in the hope that the market might find some direction.
My main positions today are a long in Macquarie in the large cap book and a long in MacMahon in the small cap book. MQG has chopped around and has edged higher now, up 24 or 0.3%. MAH is handily higher at 22 from a close of 21.
The small cap book has done pretty well today, recovering about half the accumulated losses for the week with some positions looking pretty hopeful for the next day or so.
In the large cap book I've realised that I'm often unclear about time frames and that has cost me in OSH. It's down 7 to 699 and I had ample opportunity to sell this stock around 712 or higher. I like the weekly chart but I've decided I should simple focus on short term and leave the longer term stuff for the super fund where I've been holding OSH since it was 685 without any concern and I'll probably look to offload it if it reaches the 740 level.
4.40 pm The market finished the last trading day of the quarter with an 11 point gain after a dull choppy week. I decided to sell OSH for a small loss at the match price of 700. MQG was flat on the day and although I sold a few at higher levels, the average was pretty much a scratch trade.
MAH performed well and I sold out at 22.5 having bought at 21.
I've decided to try to pick one trade a day in each of the books, the large cap and the small cap.
The large cap pick for the day is Westfield. It has been trending down for over a year but has made a higher low and is starting to accelerate even if it's more than likely a corrective rally with wave equality implying a target around 810. WFD has a lot of shopping malls in the US so the tax plan and a weakening AUD versus the USD are handy tailwinds. Rising interest rates are a negative but aren't an influence this week. It's only going to be a one or two day trade anyway. Here's the chart.
The small cap pick of the day is Nearmap. The chart shows a higher low after a two month correction followed by an acceleration today on good volume. Long at 65.5.
I've been expecting further weakness like many in the market due to a gradually weakening index. However, support continues to hold and it may well be that the index will rally as the failure to break lower can trigger a reversal. Sentiment is bearish and that is often the sign of a low.
My main positions today are a long in Macquarie in the large cap book and a long in MacMahon in the small cap book. MQG has chopped around and has edged higher now, up 24 or 0.3%. MAH is handily higher at 22 from a close of 21.
In the large cap book I've realised that I'm often unclear about time frames and that has cost me in OSH. It's down 7 to 699 and I had ample opportunity to sell this stock around 712 or higher. I like the weekly chart but I've decided I should simple focus on short term and leave the longer term stuff for the super fund where I've been holding OSH since it was 685 without any concern and I'll probably look to offload it if it reaches the 740 level.
4.40 pm The market finished the last trading day of the quarter with an 11 point gain after a dull choppy week. I decided to sell OSH for a small loss at the match price of 700. MQG was flat on the day and although I sold a few at higher levels, the average was pretty much a scratch trade.
MAH performed well and I sold out at 22.5 having bought at 21.
I've decided to try to pick one trade a day in each of the books, the large cap and the small cap.
The large cap pick for the day is Westfield. It has been trending down for over a year but has made a higher low and is starting to accelerate even if it's more than likely a corrective rally with wave equality implying a target around 810. WFD has a lot of shopping malls in the US so the tax plan and a weakening AUD versus the USD are handy tailwinds. Rising interest rates are a negative but aren't an influence this week. It's only going to be a one or two day trade anyway. Here's the chart.
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