The local market is having another positive day after a week of red ink after breaking down out of a bearish flag pattern.
A weekly chart of the local market shows we are at some trend line support and a probable horizontal support zone. How long this current low holds is anyone’s guess. Some kind of rebound could be expected from here.
After reaching close to the 2018 highs Whitehaven Coal has made a lower high and dropped through one of our stops and we sold more than half our stake. We retain the rest for now keeping a close watch on prices. Perhaps some sideways consolidation before the next big move, time will tell.
The price of gold is only just hanging on. Maybe higher inflation might put a spark into the price.
This graph shows that after an extreme low in sentiment there can be above average returns for the next year. That time to turn could be fast approaching.
A look at some significant declines from the 1970’s shows reactionary moves higher did not last long.
We bought back into Brainchip to speculate on a decent move after being included in an index update after price bounced off support.
We were stopped out of Kelsian and Santos last week.
After enduring some price decline we were stopped out of St Barbara and Red5 today.
Lynas looks to be holding at support for now.
Units bought (sold)
From last table
Bought Whitehaven Coal c/f at $2.76
Bought 700 at $2.70
Sold 400 at $4.80
300 left at $4.78
Bought 120 at $20.50
Bought 3,000 at 29.5c
Bought 12 at $260.00
Bought St Barbara
Bought 2,000 at $1.52
Bought 1,000 at $1.70
Sold 15/6 $1.45
Bought 6000 at 40c
Sold 15/6 at 29c
Bought 300 at $7.90
Sold 15/6 at $6.50
Bought 300 at $9.20
Buy BBOZ ETF
Buy 500 at $4.10
Bought 300 at $8.70
Bought BBUS ETF
Bought 100 at $11.20
Bought 4,000 at 80c
$30 per round turn added when sold.
Buy/ close prices and Margin
Prices from Tuesday night or 6am for US positions.
Disclaimer: The commentary and trading positions taken are for educational purposes only and are not an invitation to trade. Trading is risky and individuals should seek Professional counsel before making any financial decisions. Many thanks to Incredible Charts.com software for most of the charts used in the column.
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