Nice run up, but weak volume.
We’ve seen a nice recovery from the lows of March with April still above the 4850 mark heading towards Easter. The heavy lifting in this market was done by the industrials and the energy stocks. The Banks have been left alone until the last couple of days. The volume has also been low.
I maintain my view that the market will stay relatively flat over the next couple of years as such it will continue to trade on the above range. At present the market looks a little high, as such I expect to see a small pull back in the coming week. Leading into the Easter break I expect investors will look to exit the market and sit on the side lines until May and June company guidance comes out.
Be careful not to look at the market as a whole. Only certain sectors are doing the lifting at any one time and as such there are going to be opportunities to pick up some quality but out-of-favour shares in these markets.
I’m taking a short break and will be relaxing on Fraser Island by the time you read this. However I will take the lap top and keep my eye on the market.
Happy Easter to you all.