Australian Investment Blog

The $A under 88c + Iron Ore well under US$80/t + the DOW off 264 points = a Sea of Red

The ASX200 will open today around 6.3% lower than the high in August, but be warned, the S&P500 is only down 2.6% from recent highs. I expect a few more weeks of increased volatility, hence I expect the morning reports to be regularly focusing on this current correction and how best to exploit potential opportunities. Let’s look at simple numbers from recent reports:

With the $A at 87c (87.90 today) my ASX200 target was 5320, almost exactly where we will open today. Overall, I see a strong possibility that we thrust down to the 81c region that targets 5015 for the ASX200 – see charts 1 & 2.