Shadow boxing
11.40 am A early spike has evaporated as the weak tone persists and the shadow to be jumped at is the debt ceiling impasse in the US despite market performance being slightly positive in recent shut downs. The ASX 200 has hit a low of 5998 and is currently down 6 at 6000. We'll have to wait and see to find out if this level attracts buying. It's beginning to feel oversold but that doesn't imply a bounce yet and if 6000 fails then 5950 would be the obvious target.
My large cap book is in the black thanks to further strength in A2M, up 9 to 802, with PTM also working its way higher. I've sold out of NCM as that made a new high early last week only to reverse and close below the previous week's low. It's 20 cents stronger this morning but hasn't finished the sell off in my opinion so happy to get a slightly better exit point.
The small caps are in the doldrums though the smaller milk powder stocks, BUB and WHA, are showing signs of following the positive leads from Bellamy's and A2 Milk.
If BUB can push up to 80, it would imply a second higher low, a strong base and a good chance of a test of 100.
2.24 pm The index edged lower to 5996 but is almost back to square at 6005. The reason I'm so focussed on it at present is because I'm mainly long and swimming against the tide so a turning of that tide could see some fast moves back up. I'm looking for a doji on the XJO today or even a bullish reversal day. The concern is financials because they've well and truly rolled over after a choppy rally from the start of September that completed earlier this month. So I'm relying on the rest of the market taking up the slack.
The small cap sector is under the most pressure I've seen for a while but given the leverage in those stocks they're far more likely to have big swings - the furthest point of the see saw. Some relief from the grind lower would do me some good.
4.24 pm It wasn't to be and the market swung lower again, still making lower lows. At the finish the index had failed to hold 6000, closing down 14 at 5992.
It was a minor down day with large cap gains failing to cover losses in the smaller stocks.
My large cap book is in the black thanks to further strength in A2M, up 9 to 802, with PTM also working its way higher. I've sold out of NCM as that made a new high early last week only to reverse and close below the previous week's low. It's 20 cents stronger this morning but hasn't finished the sell off in my opinion so happy to get a slightly better exit point.
The small caps are in the doldrums though the smaller milk powder stocks, BUB and WHA, are showing signs of following the positive leads from Bellamy's and A2 Milk.
If BUB can push up to 80, it would imply a second higher low, a strong base and a good chance of a test of 100.
2.24 pm The index edged lower to 5996 but is almost back to square at 6005. The reason I'm so focussed on it at present is because I'm mainly long and swimming against the tide so a turning of that tide could see some fast moves back up. I'm looking for a doji on the XJO today or even a bullish reversal day. The concern is financials because they've well and truly rolled over after a choppy rally from the start of September that completed earlier this month. So I'm relying on the rest of the market taking up the slack.
The small cap sector is under the most pressure I've seen for a while but given the leverage in those stocks they're far more likely to have big swings - the furthest point of the see saw. Some relief from the grind lower would do me some good.
4.24 pm It wasn't to be and the market swung lower again, still making lower lows. At the finish the index had failed to hold 6000, closing down 14 at 5992.
It was a minor down day with large cap gains failing to cover losses in the smaller stocks.
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