US Markets enjoyed some renewed buying enthusiasm due to earnings beats by some of the heavy weights like Coca Cola and General Motors but short term traders will be eyeing off the markets sitting right on a key resistance and well and truly in overbought territory. The Aussie 200 Index enjoyed a modest gain on open but quickly moved into the red, despite the Westpac consumer confidence sentiment showing a rise of 8 per cent. Gold is currently stuck on support around $1,235 per ounce and the Aussie Dollar is little changed at 0.7765.
How did the Aussie market perform today?
S&P/ASX200 lost 31.5 points or -0.55% on volume of $4.63 billion, closing at 5769.1.
Australian sector watch
Looking over the charts
- The Aussie 200 Index made some great progress following positive offshore leads but resistance seemed too large for traders as they sold the index down more than 85 points from high to low.
- One of the key supports at 5780 was broken on the hourly chart with the next line of defence at 5750 becoming more critical. Given the strength of the recent uptrend, it is often healthy to see some profit takers step in as the market re-calibrates before potentially pushing higher.
- The hourly chart is showing a potential buy opportunity with the stochastic oversold and the chart sitting on key support. The daily chart shows a completely different story with the stochastics crossing down from within the overbought zone.
- Support is currently sitting at 5750 and below that at 5735 with resistance at 5780 and 5800.
Chart Courtesy of Invast MT4
ASX top 200 stock analysis
7% of stocks are showing oversold levels, 39% are showing overbought levels and 66% 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:
- DMP DOMINO’S PIZZA ENTERPRISES +21.19%
- GMA GENWORTH MORTGAGE INSURANCE AUSTRALIA +6.35%
- SGH SLATER & GORDON +4.87%
- SIR SIRIUS RESOURCES NL +4.65%
- AGL AGL ENERGY +4.29%
Top 5 Losers:
- BKN BRADKEN -12.65%
- CSL CSL -7.83%
- OZL OZ MINERALS -7.35%
- SXY SENEX ENERGY -6.76%
- AWE AWE -5.17%
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