ASX 300 Metals & Mining Index broke support at 3500, signaling a primary decline with a target of 3100. A bearish sign for the broad ASX 200 index.
The ASX 300 Banks Index is consolidating above primary support at 7000. Recovery above 7450 would indicate another bear rally but the primary trend is down and breach of 7000 would signal a decline with a long-term target of 5000.
The ASX 200 continues to display long tails and a bullish divergence on Twiggs Money Flow, signaling buying interest. Recovery above 5950 would suggest another advance but that is unlikely in the current climate. The primary trend is down and breach of primary support at 5650 would signal a decline with a target of 5000.
I have been cautious on Australian stocks, especially banks, for a while, and hold 40% cash in the Australian Growth portfolio.