Wednesday, February 24, 2010

Trade 228 - Short ASX



Short 100ASX @ 36.50

- market opens sharply lower, and ASX is recovering it's open price rapidly - a gap close is expected.
- whilst the daily is trending higher, it has hit the RSI sell range and the market is nearing the daily resistence level.

- break below recent resistence 36.53
- the short term charts have price below it's 50MA, with a nice downtrend on the 1 minute chart.

- stops are just above the daily high @ 37.10
- initial target is using breakout calculation 36.40 - (37 - 36.40) = 35.80, if the market is still weak, I'd expect the price to hit 35.20.