Finspiration Australia. Chart Analysis of the Australian and International Stock Markets.

Yesterday in Australia. 

XJO up strongly yesterday +1.93%.  The bullish engulfing candle combined with positive divergence on the CCI promises more upside.  This should produce at least a counter-trend rally - but I'm not expecting a change to overall bear market conditions.

Overnight in the U.S.

The positive action in Australia yesterday flowed around the world with Europe up more than +2% and the U.S. up strongly.

Dow Jones +1.47%.  SP500 +2.39%.  Nasdaq +3.82%.  Small Caps +2.4%.  Banks +1.09%.

SP500.

Last night saw good carry-through buying from the previous session's intra-day buying.

A counter-trend rally is in place.  1st Horizontal Resistance Level is at 4170; 2nd Horizontal Resistance Level is at 4306.  If 2HR is reached, that would represent a rise of +11.6%.  1HR would be +8.1%.

Commodities.

Commodities Index +1.37%.  Energy +1.42%.  Base Metals +1.47%.  Agriculture +0.96%.  Gold -0.81%.

NY Advance-Decline Line.

NYAD remains in a long-term down trend.  Until we can see that down trend reversed, long-term investors should remain defensive.