Australia 200 – Tuesday June 2nd, 2015
In the last week or so, we have seen the confirmation of a medium term trend reversal as the ASX 200 index has edged up towards the key 5800 level. It has, however, run into a wall of resistance at this level, and has been content to remain around 5750. Key levels remain 5650 below and 5800 above. The 5800 level still looms large and continues to apply downwards pressure on the index, as this has been a significant level for the index throughout this year.
Several weeks ago, the Australia 200 index declined sharply from highs around the key 6000 level, and whilst it paused a little around 5800 and enjoyed some support, it continued to decline down to a three month low around 5550.
Even if it was able to rally higher and move back through the key 5800 level, the index will rejoin the congestion range between 5800 and 6000 and likely find it difficult to move through there quickly. Accordingly, the 6000 level, which was spoken about at length for most of this year, is now a distant level and is probably some time away from being seen again.
(Daily chart below)
Australia 200 June 2 at 01:05 GMT 5768 H: 5779 L: 5745
Australia 200 Technical
| S3 | S2 | S1 | R1 | R2 | R3 |
| 5650 | 5500 | — | 5800 | 6000 | — |
During the early hours of the Asian trading session on Tuesday, the Australian 200 index will be looking to make another run at the key 5800 level, which has provided reasonable resistance to the index over the last week or so.
Further levels in both directions:
• Below: 5650 and 5500.
• Above: 5800 and 6000.
Economic Releases
- 23:30 (Mon) AU AIG Services PMI (May)
- 01:30 AU Current Account (Q1)
- 01:30 AU Net Exports of GDP (Q1)
- 04:30 AU RBA – Overnight Rate
- 08:30 UK BoE – Mortgage Approvals (Apr)
- 08:30 UK BoE – Net Consumer Credit (Apr)
- 08:30 UK BoE – Secured Lending (Apr)
- 08:30 UK CIPS/Markit Construction PMI (May)
- 08:30 UK M4 Money Supply (Apr)
- 09:00 EU Flash HICP (May)
- 09:00 EU PPI (Apr)
- 14:00 US Factory Orders (Apr)
- 14:00 US IBD Consumer Optimism (Jun)
- US Vehicle Sales (May)