The ASX200 is still coming under fire but is it in a zone for buying

ASX200 Index Review

 

ASX200 Index

The ASX200 is still coming under fire from selling pressure but is down at a zone where we expect to see a reaction higher…the question now is what sort of reaction? We see the 5800 ideal for buyers to step in as price is stretched into this zone but the key will be whether its a grind higher (which we will then expect to see a retest of the lows) or a pop followed by lower highs for a potential deeper move lower below 5800 (refer to chart below). We are still on guard and will not load into the market heavy as there are still a lot of global headwinds for stock buyers…happy to wait and see the price action we prefer to play out.

 

Index : ASX200 Index

Current Price : 5858

Status : On watch for a reaction higher