The long and steady decline in the Australian dollar from $0.93 to $0.69 has paused and developed a significant reversal pattern. » Read More
Six weeks ago US Federal Reserve Chairman, Ben Bernanke, put markets on notice that changes were coming. It was a gentle hint to reform their own houses, or have reforms been forced upon them. When speaking in Georgia, Bernanke chose to address the topic of clearing. It was an early warning that changes were coming. The most obvious of these would be adjustments to the level of margins.
Macbeth says “We have scotched the snake, but not killed it” and the same can be applied to the death of Osama bin Laden. This is a psychological victory. Its not of the same order as the removal of a head of state who has executive control of an organized military.
Sometimes it more useful to recognize relationships rather than attempt to explain them. The performance of the KOSPI is a case in point. There are two aspects of behavior, which point the way to wider profits in the ASEAN region. Just why these behaviors occur, and why the relationships have been established is a difficult question to answer.
Daryl Guppy is an independent technical analyst who appears frequently on CNBC Asia.