TSX 60, ASX 200 and Russell 2000 Forecasts: Dip Buyers Eye Key Support

TSX 60 Technical Analysis

The TSX 60 in Toronto index offers a lot of exposure to commodities and banking, and quite frankly, this is a market that I think, given enough time, probably finds buyers. Given enough time, I do think that any dip gets bought into after all commodities are being threatened right now and the fact that Canada is rich with oil and other things, such as gold, lithium, and everything else, Canada is an ideal place to put your money to work if you believe in the commodity bull cycle.

That being said we were a little overdone so maybe a bit of correction is necessary somewhere near 1,950 I think you would find some interest in buying. It is also worth noting that right at the 2,000 level, we had seen a bit of resistance, and that makes sense; it is a large, round, psychologically significant number. I do think a little bit of a pullback and an acceleration probably is what gets us over the hump.

ASX 200 Technical Analysis

The Australian 200 has dropped towards the 50-day EMA, filling most of a gap from a couple of weeks ago, and now is sitting just above the crucial 8,800 level. This is an area that could offer support, but even if it does not, then somewhere near the 8,725 level, we should see a more definitive defense. The fact that we are bouncing a little bit later in the day is a good sign and the ASX 200 could end up being a buy here if we just get a little bit of momentum.

Russell 2000 Technical Analysis

The Russell 2000 in the United States is doing fairly well as the US 10-year yield is starting to drift a little bit lower. We will see how this plays out the rest of the day. Remember, this is a little bit more volatile than some of the other US indices, but even if you do not trade the Russell 2000, it is good to watch it because if it does well, then by extension, the NASDAQ, the Dow Jones, and the S&P 500 should all be moving in the same direction. I do think this might be a good place to buy dips as well, as we go looking toward the 2,850 level.