Examining XSO Daily Price Action EOD 29/10/2015.

After re claiming 62% of the lost territory, XSO (Small Ordinaries ASX) stalled at the Fibonacci Golden Mean of 61.8% as well as the resistance provided by the 200 period daily SMA. Both of these cluster in the zone of 2110.

After the IMPULSE move in the current month of October, a well deserved rest perhaps  (digesting the gains). It would be a very bullish development if we see the price action re claim it’s 200 day SMA ( Red SMA ) and trade above it.

We are also about to enter into a yearly BULLISH SEASONALITY CYCLE  (as of 1st of November) which should be a positive going forward. This cycle lasts till Late April. Month of November,  is likely to be a flat month for XSO with slight bearish bias and that of XAO ,please revisit the previously posted XAO seasonality histogram chart.

Breakout zone (2000-2020 level) @ AR may be re-tested going forward which should act as SUPPORT.

Seeing the XSO outperform XAO, may be interpreted as a RISK ON in our market.

EOM Review of the world markets would also be done over the weekend.



All the information and analysis provided on this website is general in nature and for educational purposes only and does not constitute financial advice. No content in any way implies a recommendation to buy, sell, hold or short sell any financial instrument, nor is it financial advice.

Investing and trading in financial markets carries considerable risk, and should always be done in consultation with a licensed financial adviser taking your personal circumstances, financial situation, objectives and needs into consideration. The information on this website is no substitute for financial advice.


Comments are closed.