Gains across Europe and US bourses overnight plus solid gains seen across the Crude Oil price, provided an optimistic tone for the day ahead and the Aussie 200 did not disappoint. In addition to the positive underlying tones overnight, the Reserve Bank of Australia (RBA) cut the reserve rate by 25 basis points to 2.25 per cent, causing our index to leap ahead 82.1 points and our Aussie Dollar to continue its downward spiral, hitting a low of 0.7649.
How did the Aussie market perform today?
S&P/ASX200 gained 82.1 points or +1.44% on volume of $5.28 billion, closing at 5707.4.
Australian sector watch
Looking over the charts
- The Aussie 200 Index has finally broken through recent highs to hit the highest price since May 2008, off the back of the RBA announcement to cut rates, fueling our Banks to hit new recent highs and the Energy sector pushing forward an impressive 3.93 per cent.
- During this recent run up, we’ve hardly had any time for profit taking as the index continues to push forward and with new blue sky territory available, it will be interesting to see where traders take our market.
- Commodities have now started to rebound and the Real Estate Investment Trust Sector and Financials are continuing their stellar capital gains with momentum well and truly favouring the bulls, although there is a small amount of bearish divergence creeping in.
- Support is currently sitting at 5670 and below that at 5630 with resistance appearing futile with near term blue sky territory, given we have just hit the highest price since 2008.
Chart Courtesy of Invast MT4
ASX top 200 stock analysis
8% of stocks are showing oversold levels, 56% are showing overbought levels and 56% 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:
- BPT BEACH ENERGY +15.54%
- SXY SENEX ENERGY +14.04%
- KAR KAROON GAS AUSTRALIA +9.63%
- NVN NOVION PROPERTY GROUP +9.48%
- DLS DRILLSEARCH ENERGY +9.09%
Top 5 Losers:
- NVT NAVITAS -9.52%
- SIP SIGMA PHARMACEUTICALS -4.88%
- QAN QANTAS AIRWAYS -3.98%
- SUL SUPER RETAIL GROUP -3.43%
- BRG BREVILLE GROUP -2.61%
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