The S&P/ASX 200 rebounded strongly today, up 107 points or 2.6% to 4183 points. In after hours trading, the market is holding on to these gains awaiting the Euro and US sessions, which are also likely to be bullish.
Asian markets experienced slightly smaller gains, with the Nikkei 225 up 1.9% to 8756 points whilst the Hang Seng closed up 1.4% to 19989 points.
In other risk assets, the AUD gained over 1% against the USD, now at 1.002, whilst WTI crude climbed similarly to $86.7 USD per barrel. Gold in contrast had a shocking day, down over 2% and ranging over $100 per ounce in 24 hours! It now trades at $1832 USD an ounce.
Movers and Shakers
Rainbows and unicorns across the board on the ASX, although there were the occasional losers, particularly gold miners. All sectors lifted, materials and financials experiencing the best gains.
The banks did extremely well with ANZ up 4%, CBA up 3.3%, whilst NAB climbed 3.6%, WBC up 2.9% and Macquarie a laggard, only up 1.6%
BHP Billiton (BHP) and RIO provided most of the gains for the index up 3.6% and 3.2% respectively.
CSL rebounded almost 5% before closing up 3.5% because of the weakening of the Swiss Franc, as it has major facilities in the neutral land locked state.
The Charts
Bullish investors and traders still need to look for a sideway channel pattern between 4100 and 4300 points to eventuate before considering positions, similar to the pre-QE2 action of last year. Today’s action is very strong and adds credence to a “W” shaped rebound.
