The ASX 200 is testing resistance at 5540/5560. Oscillation of 21-day Twiggs Money Flow around zero continues to indicate hesitancy. Breakout above 5560 is unlikely, but would offer a target of 5700*. Reversal below 5450 would mean another test of support at 5370.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX below 10, however, continues to indicate a bull market.
The ASX 200 is once again testing resistance at 5540/5560. Oscillation of 21-day Twiggs Money Flow around zero indicates hesitancy, but tall blue candles followed by short red candles suggests continuation of the rally. Breakout above 5560 would offer a target of 5700*. Reversal below 5450 is unlikely but would mean all bets are off and another test of support at 5370 is on the cards.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX close to 10 indicates low risk typical of a bull market.
RBA concern over the rising Australian Dollar is increasing, but whether this will motivate governor Glenn Stevens to do more than attempt to talk the market lower remains to be seen. The Aussie retraced to test its new support level, but only a fall below $0.92 would suggest a trend change. Recovery above $0.94 would suggest not, while follow-through above $0.95 would confirm a target of $0.97.
The ASX 200 broke clear of its descending trendline, suggesting that the correction is over. But 21-day Twiggs Money Flow remains weak and follow-through above 5540/5560 unlikely. Further ranging between 5400 and 5550 seems likely. Reversal below 5380 is now unlikely, but would warn of a test of 5300.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX again tracked lower, indicating a bull market.
The ASX 200 is once again testing support at 5380/5400. Declining 21-day Twiggs Money Flow below zero indicates medium-term selling pressure. Correction to 5300 is likely. The primary trend remains upward and this should prove a good entry point for long-term investors. Recovery above 5470 is unlikely at present, but would signal another primary advance.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX remains low, indicative of a bull market.
The ASX 200 found support at 5380/5400. Recovery above 5470 would break the descending trendline, suggesting that the correction is over — and a test of resistance at 5540/5560 likely. But 21-day Twiggs Money Flow whipsawing around zero indicates indecision. Respect of (or a false break above) 5470 would suggest correction to 5300.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX making new lows, however, indicates a bull market.
The ASX 200 rallied on Monday, but 21-day Twiggs Money Flow at zero indicates (medium-term) buying pressure is weak. Follow-through above 5470 would signal a test of resistance at 5540/5560, but China continues to weigh on the index and reversal below 5380 would warn of a test of 5300.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX making new lows is indicative of a bull market.
The ASX 200 is testing medium-term support at 5400. Long tails and recovery of 21-day Twiggs Money Flow above zero signal buying pressure. A close below 5400 would warn of a test of 5300, while recovery above 5460 would suggest another attempt at 5550.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
While not as strong as North American markets, the weekly index has maintained a healthy distance above a green Ichimoku Cloud. There are no signs of a long-term trend reversal.
ASX 200 VIX is also holding at low levels indicative of a bull market.
The Aussie Dollar is testing resistance at $0.94. Consolidation in a narrow band suggests continuation of the rally towards $0.97/$0.98. Recovery of 13-week Twiggs Momentum above zero suggests a primary up-trend, but we may see the RBA intervene to prevent this. They may need to follow the RBNZ, introducing macro-prudential controls (e.g. setting a maximum 80% LVR percentage), to take the steam out of the housing market while lowering interest rates to weaken the currency.
The ASX 200 respected resistance at 5500 and is headed for a test of medium-term support at 5400. Reversal of 21-day Twiggs Money Flow below zero warns of medium-term selling pressure and a correction. Breach of 5400 is likely and would test support at 5300 and the rising trendline. Respect of 5400 is unlikely, but would suggest another rally to 5550.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX below 12, however, continues to indicate low risk typical of a bull market.
The ASX 200 closed below short-term support at 5500, warning of another test of support at 5400. Declining 21-day Twiggs Money Flow indicates short-term selling pressure. Breakout above 5550 is unlikely in the short-term, but would signal an advance to 5700*.
* Target calculation: 5550 + ( 5550 – 5400 ) = 5700
ASX 200 VIX below 12 indicates low risk typical of a bull market.
The ASX 200 reversed below its secondary rising trendline, warning of a correction. Oscillation of 21-day Twiggs Money Flow above zero, however, continues to indicate long-term buying pressure.
A correction would be likely to test the primary trendline and support at 5300. Another 13-week Twiggs Money Flow trough above zero would strengthen conviction of a bull market.
ASX 200 VIX rose to 13, but still indicates low risk typical of a bull market.
