A quick look at today: ASX closed today at 7,284.2 (with a daily low of 7,222.3) after ending yesterday at 7,253.3 and gaining 0.43%.
ASX is currently trading at 7,284.2 following the release of Consumer Price Index data from the Australia.
At the same time, Australia Building Approvals (MoM) (Oct) released today at 00:30 UTC with a figure of -6, while the previous figure was -8.1. Australia Construction Work Done (QoQ) (Q3) came out at 2.2, while a consensus of analysts was expecting 1.5. Australia Consumer Price Index came out at 6.9%, while a consensus of analysts was expecting 7.4%.
Despite posting gains on today, ASX 200 slid below its 5 day Simple Moving Average at 7,231.82 during the last session — an early indicator that a negative trend could be emerging. First developed in 1978, the relative strength index (RSI) is a momentum oscillator that measures both the speed and rate of change in price movements within a market — measured as a 0-100 index. In ASX's case, the RSI has fallen below 30, indicating the asset is oversold. ASX's upper Bollinger Band® is at 7,357.83, this is a slight indication of a slowdown. In contrast, ASX broke through the 7,262.23 resistance, climbing 21.97 points above it.
Technical analysis suggests there could be an imminent reversal for ASX.
Other markets are also showing gains as KOSPI Composite Index added 1.61% and closed around 2,433.39 today. Notably, Hang Seng rose 2.1% today and closed at 18,200.
Meanwhile, Nasdaq lost 0.59% today and closed at 11,049.
The market is looking forward to the release of new data: Australia Private New Capital Expenditure (QoQ) (Q3) scheduled to come out tomorrow at 00:30 UTC. Australia AIG Manufacturing Index (Nov) is scheduled for today at 21:30 UTC.
The index has been trending positively for about a month. After hitting an important low of 6,434.7 approximately 5 months ago, ASX has bounced back 12.72% since.