Australia: S&P/ASX 200 (.AXJO) end lower as financials outweigh property sector gains; NZ flat

Australia: S&P/ASX 200 (.AXJO) end lower as financials outweigh property sector gains; NZ flat

Australia: S&P/ASX 200 (.AXJO) end lower as financials outweigh property sector gains; NZ flat

Australian shares edged lower on Monday as financials offset gains in real estate stocks on the first trading day of the country’s new financial year.

The S&P/ASX 200 index fell 0.3 percent, or 16.8 points, to close at 6,177.8.

Financials tipped the benchmark lower, with Australia and New Zealand Banking falling 1.5 percent.

On Friday, ANZ said it expects difficult trading conditions to continue for the foreseeable future, amid a damaging public sector inquiry into the country’s financial sector.

Meanwhile, the country’s biggest lender Commonwealth Bank of Australia was hit with a class action lawsuit, which accused the bank of failing to disclose widespread breaches of anti-money-laundering rules. CBA ended 0.2 percent lower.

New Zealand’s benchmark S&P/NZX 50 index closed flat at the start of the week, as consumer staples and utility stocks offset strong gains in EBOS Group.

Overall, the bias in prices is: Upwards.

By the way, prices are vulnerable to a correction towards 6,075.67.

The projected upper bound is: 6,266.39.

The projected lower bound is: 6,101.08.

The projected closing price is: 6,183.74.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 41.6500. This is not an overbought or oversold reading. The last signal was a sell 4 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 60.27. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 5 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 41. This is not a topping or bottoming area. The last signal was a sell 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 11 period(s) ago.

Rex Takasugi – TD Profile

S&P/ASX 200 closed down -16.800 at 6,177.800. Volume was 15% below average (neutral) and Bollinger Bands were 26% wider than normal.

Open High Low Close Volume___
6,194.6006,220.1006,177.5006,177.800 496,435,520

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 6,192.37 6,067.78 5,958.36
Volatility: 10 9 10
Volume: 609,234,304 589,142,464 552,038,336

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

S&P/ASX 200 is currently 3.7% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume into .AXJO (mildly bullish). Our trend forecasting oscillators are currently bullish on .AXJO and have had this outlook for the last 7 periods.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

You must be logged in to post comments :  
CONNECT WITH