US Stocks Wipe Out 2009 Red Ink
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New York, US, 3 June . US stocks in the Dow Jones Industrial Average (DJIA) have reached the same prices as they were on 1 Jan 2009, wiping out the years red ink, in intraday trading. An hour before closing bell it had reached 8,770. [br]
New York, US, 3 June . US stocks in the Dow Jones Industrial Average (DJIA) have reached the same prices as they were on 1 Jan 2009, wiping out the years red ink, in intraday trading. An hour before closing bell it had reached 8,770. [br]
Increasing demand from China and the developing world is a strong driving force. With increasing orders and low inventory levels, commodities order books are beefing up and commodity stocks are surging. This is boosting mining and commodity-related companies, producer country stock markets and currency values. The Journal of Commerce index, the tracker that follows the prices of 18 core commodities, gained 9.5 per cent last month, the most since records began in 1985. Goldman Sachs is predicting a 19 per cent return on commodities this year. Profit-taking is likely at this resistance level, and volumes are likely to drop as economic data firms up and economies start the slow road to recovery.[br]But what are the longer term trends?
We asked our regular guest technical analyst, Alpha Bravo99, for his view, with a particular focus on Australia as a key commodity producer country. These are his analyses with key chart dates.
Table of Contents
Fri, 29 May 2009.
The Weekly Uptrend Strengthens.
We only had minimal retracement due to the strength of the uptrend on a weekly chart.
Weekly outlook is still bullish but monthly charts remain very bearish and the long term downtrend will eventually terminate this global bear market rally.
The Australian XFJ banking index weekly uptrend is particularly strong.
Thurs, 7 May 2009.
The market is currently very overbought and a correction is overdue.
After a much needed pullback the uptrend will then resume as weekly charts are still trending up.
Thu, 2 Apr 2009
The ASX 200 and All Ordinaries uptrend on the daily chart get’s stronger.
The bullish signal was first triggered on March 23rd.
Mon, Mar 23, 2009
subject ASX 200 index has turned bullish.
The daily chart for the Australian ASX 200 index and All Ordinaries index has turned bullish today.
The weekly and monthly charts remain in a downtrend.
Vladimir Gonzalez, EconomyWatch.com, with contributions from Alpha.Bravo99 at gmail.com
