CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81.18% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

AUS200

AUS200 on a tear - how much longer can it last?

Luke Suddards
Research Strategist
Aug 18, 2022
AUS200 is looking red hot. Read below to find out more

The Australian 200 stock index continues to move higher, despite weakness in the states. A fiscal boost from China could be helping to spur the high risk index higher. Weaker Aussie employment data could also lead to a less aggressive RBA.

image.png

(Source: Tradingview chart of AUS200 - Past performance is not indicative of future performance.)

From a technical perspective, price is nearing a key resistance level at the 61.8% Fibonacci level and the 200-day SMA. The RSI is in overbought territory and price is around 5% above its 50-day SMA, which called a top previously. 7.3k is the level to watch for an upside breakout, while a rejection and roll over would bring the 7k and 50% Fibonacci level into play. 

Ready to trade?

It's quick and easy to get started. Apply in minutes with our simple application process.

The material provided here has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Whilst it is not subject to any prohibition on dealing ahead of the dissemination of investment research we will not seek to take any advantage before providing it to our clients. Pepperstone doesn’t represent that the material provided here is accurate, current or complete, and therefore shouldn’t be relied upon as such. The information, whether from a third party or not, isn’t to be considered as a recommendation; or an offer to buy or sell; or the solicitation of an offer to buy or sell any security, financial product or instrument; or to participate in any particular trading strategy. It does not take into account readers’ financial situation or investment objectives. We advise any readers of this content to seek their own advice. Without the approval of Pepperstone, reproduction or redistribution of this information isn’t permitted.