Aussie Index (SPI) 28th August 2010 Weekly

SPI monthly and Weekly

Australian Market is well supported around the Yearly 50% level @ 4295

Based on the current pattern along with long set-ups pointed out for BHP and banking stocks (the Stock Report)  the Australian market needs to move above the September 50% level for a swing towards 4672 (#B)

This month has seen a double weekly low pattern (this week's lows) and price now is rotating back into the monthly 50% levels for September

I'm confident in the price action for the Australian market to continue higher, however I'm not confident in the price action in the S&P 500, and I've mentioned this for a number of weeks now, that the market is being held back by the S&P 500.

If that continues to play out in the S&P 500 (read US market Report), then the next long set-ups in the Australian will align with the S&P 500 hitting 970

Aussie Index (SPI) 21st August 2010

"Fundamentally and technically the Australian market looks in much better shape than the US, with the S&P likely to come under more pressure.

The longer term charts suggest more weakness whilst below the August 50% levels.

However, 3rd quarter consolidation can see more 5-day patterns that remain range bound between the Weekly levels"

Previous Weekly report

SPI Monthly and Weekly

Australian market consolidates between the Weekly levels during the past 5-days whilst the S&P 500 continues to move down, as the market remains below the August 50% levels.

The price action in the US is an anchor on the Aussie Market.

Next week's range once again will be determined by support levels @ 4383, and likely swing back towards the Weekly 50% levels.

What happens in the S&P 500 is going to effect the Australian market, and at this stage it looks like more consolidation until September.

Aussie Index (SPI) 14th August 2010

"There is a possible 2-day UP move beginning next week, however, if the 3rd day drops back below 4512 then August could move into a consolidation phase:- rotation with a downward bias towards the Weekly lows"....

Previous Weekly report


SPI Monthly and Weekly

Last week began with an UP move, but by the 2nd day price had closed below 4512, and the 3rd sold down into the Weekly lows @ 4330.

Currently the market is in a 3rd Quarter consolidation pattern and trading around the Yearly 50% level @ 4295.

Fundamentally and technically the Australian market looks in much better shapethan the US, with the S&P likely to come under more pressure.

The longer term charts suggest more weakness whilst below the August 50% levels.

However, 3rd quarter consolidation can see more 5-day patterns than remain range bound between the Weekly levels.

Next Week's Trend guide @ 4373

Support 4287

Aussie Index (SPI) 7th August 2010 Weekly

SPI Monthly and Weekly

The SPI is currently trading around minor resistance levels in August:- 4565.

With the current price action in the S&P on Friday, I would have an expectation that the trend will try and continue towards next week's highs @ 4606 and then 4672.

As long as price remains above 4512.

There is a possible 2-day UP move beginning next week, however, if the 3rd day drops back below 4512 then August could move into a consolidation phase:- rotation with a downward bias towards the Weekly lows:- 3rd quarter consolidation

At this stage the trend remains with an upwards bias.