Plenty of activity to close the week on Friday with the Alibaba float generating an amazing amount of interest and price appreciation, jumping from $68 to nearly $100 before settling at $93, up 38% from its IPO float price. Alibaba is now the 4th largest tech stock by market cap ($228 billion) with only Microsoft, Google and Apple above them. In addition to the excitement around Alibaba, we had the Scottish vote for independence, which 55% of countrymen voted No for and commodities, like Gold and Silver, took a big nose dive with inflation coming in at 1.7% in the United States.
As a result of the commodity sell-off, the Aussie 200 index was unable to gain any positive traction, falling an incredible 69.1 points and breaking some key levels of support along the way.
How did the Aussie market perform today?
S&P/ASX200 lost 70.1 points or -1.31% on volume of $3.7 billion, closing at 5363.
Australian sector watch
Looking over the charts
- The Aussie 200 index sailed in the one direction today and for want of a better example, it was straight into a gale-force wind, with our sails getting broken and the captain somewhat disillusioned.
- Our market broke several levels of support, as noted in the chart below, especially around last week’s low at 5370 and has been unable to claw its way back.
- With the recent market action, volatility on the Aussie 200 has almost doubled, going from 35 point average daily range to around 60 today, which will be welcomed from the short term traders, trading both long and short.
- Support has shifted considerably in the last 24 hours with near support sitting at 5340 and then below that at 5310 with resistance above at 5390 and then 5400 and above that at 5420.
Chart Courtesy of Invast MT4
ASX top 200 stock analysis
49% of stocks are showing oversold levels, 6% are showing overbought levels and 33% 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:
- ARI ARRIUM +4.00%
- FXJ FAIRFAX MEDIA +3.23%
- DMP DOMINO’S PIZZA ENTERPRISES +3.22%
- FBU FLETCHER BUILDING +3.01%
- TRS THE REJECT SHOP +2.83%
Top 5 Losers:
- ALQ ALS -17.22%
- RSG RESOLUTE MINING -9.38%
- MML MEDUSA MINING -8.42%
- BDR BEADELL RESOURCES -8.42%
- PDN PALADIN ENERGY -8.33%
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:
Ashley Jessen
Director of Communications
Email: ashley_jessen@invast.com.au
Phone: 02 8036 7567