The ASX 300 Metals & Mining index is undergoing a correction which is likely to test medium-term support at 3500.
Banks continue to weaken, with the ASX 300 Banks index testing medium-term support at 8300. Breach is likely and would signal a test of primary support at 8100. Trend Index peaks below zero continue to warn of selling pressure.
With both miners and banks in retreat, the ASX 200 is correcting for a second test of medium-term support at 5900. Respect would confirm the primary up-trend. But bearish divergence on the Trend Index warns of selling pressure and a test of 5800 is likely.
Target for the ASX 200 is the 2007 high of 6800 but a lot will depend on the relative strength of banks and miners.