Thursday our market rose at the open, traded bouncing slowly weaker for most of the day and closed at the lows of the day but just positive 0.1% (neutral) . Thursday night the US markets and indicies were nearly all negative, the averages were down around 3% at the close. Precious metals were down a little, Gold closed bwlow $930 and silver fell to close well below $14, the Gold miners were negative 3% on average. Oil closed lower well below $70, Oil stocks were down 3.6%. Base metals were mostly down, BHP was down 3.5% and RIO down by 3.4%.
Friday the leads from overseas are strongly negative, we expect a strong negative open today. As guessed and mentioned yesterday, the market has chosen a short term direction and it is negative!
The recent downward break of the 4000 level on the XAO should be expected to be short term, The rally of march/April should now pause, when it continues it should get the all ords back to somewhere between 4300-4900 probably in late August/early September.
The short term outlook (up to 2 weeks) is negative at the moment. The medium term timeframe (up to 4 months) outlook is Bullish.
|
