1. Most Discussed
  2. Gainers & Losers

Bears Progress

  1. redabyss

    1,383 Posts.

    Well the Australian market was not very impressed with the Greatest One Day US Rally Ever (in points) and was pretty cautious, with most stocks losing much of their initial lift.

    This being expiry day, it made possible some of the best daytrades around eg it was possible and even reasonable to trade CBA July $30.50 puts from 19c up to 70c.

    A number of stocks have actually been doing bear corrections for about 3 days now, making upward wedges on reducing volume, with beardom of varying degrees. These include WOW, TLS, ASX, CSL .

    Hard to say where banks are going except that it is down in the medium term. Resources look like they are on a dive: my BHP puts went up another 25% today. Insurance sector still very weak and headed a long way down.

    A few stocks lost the plot and broke support, such as ASC which is headed for the 20-23 area, WMC etc.

    The inexorable slide of the gold stocks has slowed, despite the price of gold, and we may now get a shortable bear rally.

    The Elliott scenario I painted for the US a few days ago still seems to be on target. Dow bounced off very good support near 7500 and the infamous 1998 LMTC low; unconvincing correction back towards 8600 or so seems likely here.

    Good trading!

DISCLAIMER:
Before making any financial decisions based on what you read, always consult an advisor or expert.

The HotCopper website is operated by Report Card Pty Ltd. Any information posted on the website has been prepared without taking into account your objectives, financial situation or needs and as such, you should before acting on the information or advice, consider the appropriateness of the information or advice in relation to your objectives, financial situation or needs. Please be aware that any information posted on this site should not be considered to be financial product advice.

From time to time comments aimed at manipulating other investors may appear on these forums. Posters may post overly optimistic or pessimistic comments on particular stocks, in an attempt to influence other investors. It is not possible for management to moderate all posts so some misleading and inaccurate posts may still appear on these forums. If you do have serious concerns with a post or posts you should report a Terms of Use Violation (TOU) on the link above. Unless specifically stated persons posting on this site are NOT investment advisors and do NOT hold the necessary licence, or have any formal training, to give investment advice.

Top

Thank you for visiting HotCopper

We have detected that you are running ad blocking software.


HotCopper relies on revenue generated from advertisers. Kindly disable your ad blocking software to return to the HotCopper website.

I understand, I have disabled my ad blocker. Let me in!

Need help? Click here for support.