–
SP500 and ASX200 Index Analysis
Time Frame : Intraday 60 min Chart
The ASX is following the lead of the US from overnight and rallying into the close which is against the grain for bears who expect another test of the lows. If the news flow in the US continues to be positive for the ‘flattening of the curve’ (even if there is an issue for the number of tests carried out per capita), then expect to see further bullish action and continuation higher. If this is the case then buyers will be dragged into the market kicking and screaming which will have a flow on effect to the ASX200 and push price higher. The potential now is for a 50% retracement of the recent coronavirus selloff and will catch a lot of traders on the wrong side of the market (ie short) and squeeze higher. Remember, the action does not have to make sense and we still expect the massive hit to the global economy will have a downside effect to Indexes worldwide….but bulls still need to have their day in the sun again first.
–
Index : S&P500
Current Price : 2749.97
Status : On watch for price continue the march higher towards 2894
Index : ASX200
Current Price : 5321
Status : On watch for price continue the march higher towards 5735
