{"id":14662,"date":"2016-12-09T22:44:25","date_gmt":"2016-12-10T03:44:25","guid":{"rendered":"http:\/\/goldstocksforex.com\/?p=14662"},"modified":"2016-12-09T22:44:25","modified_gmt":"2016-12-10T03:44:25","slug":"asx-steam-or-froth","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2016\/12\/09\/asx-steam-or-froth\/","title":{"rendered":"ASX: Steam or froth?"},"content":{"rendered":"<p>The ASX 200 broke resistance at 5500. Follow-through above 5600 would confirm a primary advance with a long-term target of 6000*. Rising Twiggs Money Flow indicates medium-term buying pressure.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" title=\"ASX 200\" alt=\"ASX 200\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2016\/2016-12-10-xjo.png?w=525&#038;ssl=1\" \/><\/p>\n<p style=\"text-align:right;font-size:.9em;color:#999999;\">* Target medium-term: 5600 + ( 5600 &#8211; 5200 ) = 6000<\/p>\n<p>The ASX 300 Banks Index has followed through after breaking resistance at 8000. Expect retracement to test the new support level but respect is likely.<\/p>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter\" title=\"ASX 300 Banks\" alt=\"ASX 300 Banks\" src=\"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2016\/2016-12-10-xbak.png?w=525&#038;ssl=1\" \/><\/p>\n<p>What could go wrong?<\/p>\n<p>&#8230;.Apart from a precarious property bubble in China fueling commodity exports, a property bubble in Australia fueled by record low interest rates and equally precarious immigration flows, <a href=\"https:\/\/goldstocksforex.wordpress.com\/2016\/12\/07\/australia-say-goodbye-to-growth\/\">declining business investment and slowing wages growth<\/a>.<\/p>\n<p>The ASX price-earnings ratio is <a href=\"https:\/\/goldstocksforex.com\/2016\/12\/08\/are-stocks-overpriced\/\">close to historic highs<\/a>, suggesting we are in Phase III of a bull market &mdash; where stocks are advanced on hopes and expectations of future growth rather than on concrete results. By all means follow the rally, but keep your stops tight.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The ASX 200 broke resistance at 5500. Follow-through above 5600 would confirm a primary advance with a long-term target of 6000*. Rising Twiggs Money Flow indicates medium-term buying pressure. * Target medium-term: 5600 + ( 5600 &#8211; 5200 ) = 6000 The ASX 300 Banks Index has followed through after breaking resistance at 8000. Expect &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/thepatientinvestor.com\/index.php\/2016\/12\/09\/asx-steam-or-froth\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;ASX: Steam or froth?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[40,57],"tags":[250,251,261,536,663,2799],"class_list":["post-14662","post","type-post","status-publish","format-standard","hentry","category-australia-nz-countries-regions","category-stock-markets","tag-asx-20","tag-asx-200","tag-asx-300-banks-index","tag-business-investment","tag-china","tag-property-bubble"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>ASX: Steam or froth? - the patient investor<\/title>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"ASX: Steam or froth? - the patient investor\" \/>\n<meta property=\"og:description\" content=\"The ASX 200 broke resistance at 5500. Follow-through above 5600 would confirm a primary advance with a long-term target of 6000*. Rising Twiggs Money Flow indicates medium-term buying pressure. * Target medium-term: 5600 + ( 5600 &#8211; 5200 ) = 6000 The ASX 300 Banks Index has followed through after breaking resistance at 8000. 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Declining Twiggs Money Flow warns of selling pressure and reversal below 8900 would warn of a correction. The ASX 200 continues its advance towards 6000, with rising Twiggs Money Flow signaling buying pressure. But it is vulnerable to a\u2026","rel":"","context":"In &quot;Australia &amp; NZ&quot;","block_context":{"text":"Australia &amp; NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":15344,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/05\/26\/asx-retreats-as-iron-ore-breaks-support\/","url_meta":{"origin":14662,"position":1},"title":"ASX retreats as iron ore breaks support","author":"ColinTwiggs","date":"May 26, 2017","format":false,"excerpt":"Iron ore broke support at $60, signaling another decline. The medium-term target is $50*. * Target: 60 - ( 70 - 60 ) = 50 Resources stocks lost momentum, with the ASX 300 Metals & Mining index respecting resistance at 3000. Twiggs Money Flow seemed to be recovering after a\u2026","rel":"","context":"In &quot;Australia &amp; NZ&quot;","block_context":{"text":"Australia &amp; NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":15303,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/05\/19\/asx-banks-break-support\/","url_meta":{"origin":14662,"position":2},"title":"ASX banks break support","author":"ColinTwiggs","date":"May 19, 2017","format":false,"excerpt":"The big banks fell sharply on the week's turmoil, with the ASX 300 Banks Index breaking support at 8500. Breach signals a primary trend reversal, offering a medium-term target of 8000*. * Target: 8500 - ( 9000 - 8500 ) = 8000 Resources stocks rallied over the week. Expect strong\u2026","rel":"","context":"In &quot;Australia &amp; NZ&quot;","block_context":{"text":"Australia &amp; NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":14895,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/03\/03\/asx-200-slows-as-resources-fall\/","url_meta":{"origin":14662,"position":3},"title":"ASX 200 slows as resources fall","author":"ColinTwiggs","date":"March 3, 2017","format":false,"excerpt":"The Australian Resources sector has been on a tear over the last 12 months, something I was slow to pick up on. China's PBOC stepped in to boost a slowing economy, sending property prices surging. But now the central bank is tightening monetary policy and housing price growth is slowing.\u2026","rel":"","context":"In &quot;Australia &amp; NZ&quot;","block_context":{"text":"Australia &amp; NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":15021,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/03\/24\/asx-stalls-at-5800\/","url_meta":{"origin":14662,"position":4},"title":"ASX stalls at 5800","author":"ColinTwiggs","date":"March 24, 2017","format":false,"excerpt":"Banks have run into resistance, with the ASX 300 Banks Index retreating below 9000. The recent false break (above 9000) is a mildly bearish sign but the long-tail on this week's candle is mildly bullish. Follow-through above 9100 remains more likely and would signal an advance to 9500*. * Target\u2026","rel":"","context":"In &quot;Australia &amp; NZ&quot;","block_context":{"text":"Australia &amp; NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":14929,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/03\/10\/asx-200-resources-or-banks\/","url_meta":{"origin":14662,"position":5},"title":"ASX 200: Resources or Banks?","author":"ColinTwiggs","date":"March 10, 2017","format":false,"excerpt":"The ASX 200 reflects a tussle between the resources and banking sectors which are pulling in opposite directions. The ASX 300 Metals & Mining Index is falling, with declining Twiggs Money Flow warning of long-term selling pressure. The banking sector, however, is rallying. The ASX 300 Banks index recovered above\u2026","rel":"","context":"In &quot;Stock Markets&quot;","block_context":{"text":"Stock Markets","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/stock-markets\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/14662","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/comments?post=14662"}],"version-history":[{"count":0,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/14662\/revisions"}],"wp:attachment":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/media?parent=14662"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/categories?post=14662"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/tags?post=14662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}