Australia: S&P/ASX 200 (.AXJO) set to edge lower

Australia: S&P/ASX 200 (.AXJO) set to edge lower

Australia: S&P/ASX 200 (.AXJO) set to edge lower

Australian shares are poised to edge lower at the open, amid directionless trading on Wall Street.

ASX futures were down 15 points or 0.2% to 6554 near 7.25am AEST. The Australian dollar rose 0.3% to US69.85¢. The NZ dollar gained 0.6 per cent to US66.79¢.

The 26-point gain was the biggest move for the ASX this week, with traders apparently noncommittal ahead of a possible US-China trade deal – or not – at this weekend’s G20 summit in Japan.

Thursday’s gains would have been stronger but the property sector was down a collective 2.2 per cent as many trusts traded ex-dividend.

Overall, the bias in prices is: Upwards.

By the way, prices are vulnerable to a correction towards 6,423.17.

The projected upper bound is: 6,793.21.

The projected lower bound is: 6,555.99.

The projected closing price is: 6,674.60.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white 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 60.9886. This is not an overbought or oversold reading. The last signal was a sell 2 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 67.46. 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 4 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 62. This is not a topping or bottoming area. The last signal was a sell 3 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 up 25.800 at 6,666.300. Volume was 5% above average (neutral) and Bollinger Bands were 91% wider than normal.

Open High Low Close Volume___
6,640.5006,666.3006,606.3006,666.300 676,689,792

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

Moving Averages: 10-period     50-period     200-period
Close: 6,627.14 6,423.58 6,067.01
Volatility: 10 12 14
Volume: 756,918,528 633,547,200 626,205,632

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 9.9% above its 200-period moving average and is in an upward trend. Volatility is high 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 bullish on .AXJO and have had this outlook for the last 12 periods.

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