Skip to main content

S&P/ASX 200 forecast for coming week ended 16th November, 2012.


Last week I was expecting that if S&P/ASX failed to test 4525 levels then it may drop but it is good to see that again it is maintaining 4450 levels.

Last day’s close was better and in last week it was also looking for support in these ranges but considering the top it made this week I am not very pleased with S&P/ASX. There is a chance that it may break 4450 levels and if it drops from here then 4350 level may act as a good support area though it has initial support level at around 4420 ranges. As I said in past that chance of making medium term bearish pattern is still there if S&P/ASX tests below 4300 level in the downside.

On the other hand if it again reversed from 4450 support level then S&P/ASX needs to first break the 4525 resistance range which it failed to break in last few weeks. If S&P/ASX again tests around 4525 range then there is a good chance that it may make a very short-term positive pattern which may take it towards around 4600 levels.

If we consider that S&P/ASX is in a medium term bullish phase then sometime these types of small corrections (or lower lows) are good sign. Here it is important matter whether S&P/ASX will drop more or it will reverse from this level. I think early days of the coming week may give us a good indication of that and special attention should be given on 4450 level for downside and 4525 level for upside.

NOTE Please see the disclaimer of this blog.

Comments

Popular posts from this blog

DAX forecast for coming week ended 15th March, 2013.

This week was very good for Dax, though it is getting resistance at 8100 range. Now it has a chance to test downside again. I think even if Dax tests lower levels, it has more chance to bounce back from around 7800 range and therefore it will again test upside.

On the other hand if it shows flat movements around 8000 range in initial days of the coming week then there is a chance that it may take a decisive call in later days. Considering the recent trends it has the chance to test higher levels may be around 8200 but that will be a very aggressive call after taking in to account the movement from last December. I will worry about the downside when Dax will be testing levels below 7600 ranges.
NOTE: Please see the disclaimer of this blog.

Fed’s rate hike Vs Sovereign rating up gradation

Financial market is very much worried about the rate hike in US, probably this is going to come in coming December. But I think that is not going to change much of the things. Even Fed hikes rate in December it will be not so much, because we are forgetting one thing that interest rate in US is around zero so even they hike rate by 0.25-50% basis points (at most) in this year that will not be enough cause for Dollars to change their locations around the world especially markets have already discounted this coming rate hike in US.

A new disaster is coming in EU banking sector, whom to blame, big Audit firms!

First I was thinking what should be the title of this posting? Will it be good if I write that big audit firms set the time for EU bank collapse! If someone is thinking that financial crisis is over then think twice because the coming EU banking crisis is no way less than 2008 financial crisis. The time bomb will explode at some point of time in future, the time has not yet set for it. In that tsunami, forget about the smaller if any major banks collapse then I will not be surprise.