Volatility continues to remain a multiyear lows as markets continue to push slowly higher, however weakness across the financials in Europe has caused the DAX index to fall over 300 points in a week and will be the key sector to watch going forward. Gold continues to strengthen whilst Brent Crude continues to fall from those elevated levels over the last few weeks.
How did the Aussie market perform today?
S&P/ASX200 gained 24.6 points or +0.45% on volume of $2.3 billion, closing at 5511.4.
Australian sector watch
Looking over the charts
- The Aussie 200 index had an overall positive day, continuing on from Friday’s extremely positive session and is well within the potential to break above nearby resistance at 5530, which we’ll be keeping a close eye on.
- Fundamentally our market has always been conflicted with numerous opposing signals and at present we have metals that are rallying with the energy sector pulling back rapidly. If we can see the energy sector steadying and the financials, property trusts and metal stocks strengthen, then we could potentially see a breakout to the upside.
- Stochastics has turned bullish again on the daily chart, turning up and crossing over but it still must be noted that a hesitation at this level could force another sell off.
- Support is sitting at 5500 and then down at 5485 with resistance at 5530 and then the next major resistance is at 5560, which would then hit a new six year high.
ASX top 200 stock analysis
14% of stocks are showing oversold levels, 23% are showing overbought levels and 57% of stocks are currently above their long term moving average as of close of trading today. View the image below to better understand overbought and oversold levels.
S&P/ASX 200 Gainers and Losers
Top 5 gainers:
- NWH NRW HOLDINGS +4.59%
- KMD KATHMANDU HOLDINGS +4.19%
- NST NORTHERN STAR RESOURCES +3.40%
- KAR KAROON GAS AUSTRALIA +2.77%
- MFG MAGELLAN FINANCIAL GROUP +2.77%
Top 5 Losers:
- BRU BURU ENERGY -9.00%
- MML MEDUSA MINING -6.46%
- EVN EVOLUTION MINING -5.17%
- ARI ARRIUM -4.90%
- MGX MOUNT GIBSON IRON -4.44%
Please note that these are our initial impressions and that it is important to read all disclaimers on this website when considering the information. If you would like to discuss further please contact:
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Phone: 02 8036 7567