26/7/23. Wednesday Evening Finspiration Report.

 XJO finished well up today after lower than expected inflation figures came out at 11.30 a.m.  XJO finished up +0.85%.

XJO broke above an important horizontal resistance level today where it has failed on several recent attempts.

NewHighs-NewLows Cumulative.

This chart remains above its 10-Day MA.  This is a good guide for medium to long term investors.

Looking at the tea leaves suggests this move to the upside may not have too far to go.

A negative divergence is forming on the NH/(NH+NL),  That's had a good record of predicting changes in trend.

XJO/IAF is shown in the lower panel.  IAF is the ETF for Composite Government Bonds.

A divergence in XJO/IAF often precedes a change in the XJO.  Currently there's a negative divergence on XJO/IAF.  Watch for a fall in the XJO.