Australia: S&P/ASX 200 (.AXJO) bank shares regain ground
Rising commodity prices helped fuel a jump in the materials and energy sectors and lift the Australian share market at noon, while the under-fire banks also regained some ground.
The benchmark S&P/ASX200 index was up 20.9 points, or 0.34 per cent, at 6,147.1 points at 1200 AEST on Wednesday, while the broader All Ordinaries was up 20.4 points, or 0.33 per cent, at 6,266.2.
Lingering mistrust towards the banks, brought on by allegations exposed in the royal commission, kept the financial sector subdued, though some losses were retraced during the morning’s trading.
CBA shares were up 0.6 per cent to $69.99 at noon, while Westpac was up 0.59 per cent to $27.40.
NAB and ANZ were flat.
The Aussie dollar dropped after an opening bounce, and is buying 71.87 US cents, from 71.99 US cents on Tuesday.
Overall, the bias in prices is: Sideways.
The projected upper bound is: 6,232.48.
The projected lower bound is: 6,055.67.
The projected closing price is: 6,144.07.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 21 white candles and 29 black candles for a net of 8 black candles.
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 17.1421. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 16 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 41.95. 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 72 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 -159.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 2 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 0 period(s) ago.
Rex Takasugi – TD Profile
S&P/ASX 200 closed up 19.900 at 6,146.100. Volume was 17% below average (neutral) and Bollinger Bands were 53% narrower than normal.
Open High Low Close Volume___
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 6,176.26 6,239.75 6,080.05
Volatility: 7 9 11
Volume: 611,796,800 591,720,896 562,687,936
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.
S&P/ASX 200 is currently 1.1% above its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of .AXJO at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on .AXJO and have had this outlook for the last 19 periods.