Today at a glance: ASX dropped 56.9 points early on and stayed at 7,307.8.
On the flip side, positive data for ASX released earlier when Australia Retail Sales matched projections, with new data release of 1.9%.
Meanwhile, Australia Interest Rate came out at 3.6, while a consensus of analysts was expecting 3.6. Australia Trade Balance (Jan) released yesterday at 00:30 UTC with a figure of 11.69 billion, while the previous figure was 12.24 billion.
ASX 200 made an initial break below its 50 day Simple Moving Average at 7,311.48, a possible indication of a forthcoming negative trend. After descending below strong Fibonacci support at 7,324.35, market bears have earmarked 7,252 as the next downside target. On the other hand, note that ASX could begin to recover as it approaches significant support, now 40.37 points away from 7,267.43. Dipping below could be an indication that further losses are ahead.
Several technical indicators are adding weight to the bearish momentum seen today and forecasting ASX to extend its recent losses.
In the meantime, negative performances are also seen in other markets, Dow Jones drops 1.72% today and closed at 33,431. Hang Seng is down to 20,051, losing 483.23 points, after ending the previous session around 20,534. KOSPI Composite Index lost 1.28% today and closed at 2,463.35.
Furthermore, Australia Building Approvals (MoM) is expected tomorrow at 00:30 UTC.
The index has been trending lower for about a month. ASX has gained 4.97% since its lowest print of 6,434.7 earlier this year.