ChartWatch ASX Scans: "Bargain" CSL keeps dipping as "expensive" NAB and WBC continue to gain momentum
The ASX Scans highlight notable trends, with National Australia Bank (NAB) and Westpac Banking Corp. (WBC) showing strong uptrends, while CSL continues to decline despite being perceived as a bargain. The article reflects on the challenges of investing in stocks that have dropped in price, emphasizing the importance of market sentiment over personal valuation. The author advocates for trend following as a strategy, suggesting that investors should focus on stocks in uptrends and avoid those in downtrends.
Key points:
- Interesting uptrends in today's Scans: Aeris Resources (AIS), Ansell (ANN), Coles (COL), Caprice Resources (CRS), DUG Technology (DUG), Dorsavi (DVL), Gateway Mining (GML), HOT Chili (HCH), National Australia Bank (NAB), Westpac Banking Corp. (WBC).
- Interesting downtrends in today's Scans: AGL Energy (AGL), Appen (APX), CSL (CSL), Domino's Pizza (DMP), Dimerix (DXB), Endeavour (EDV), Findi (FND), Inghams (ING), Nufarm (NUF), South32 (S32), Sonic Healthcare (SHL), Xero (XRO), Yancoal (YAL).
It seems to be the dip that keeps dipping at the moment. Rather than prove to be a fleeting buying opportunity, a bargain bonanza "value on sale" discount, CSL's (CSL) recent post-earnings plunge has proven rather difficult to shake.
In my experience (let's just say my bitter, bitter experience), buying a stock that has plunged in price – and which in my brain appeared to be cheap – rarely proved to be a fruitful exercise.
More likely, it led to misery and pain as the stock somehow defied my logic continued to grind lower ("but it was X price and now it's only X - 30%, -40%, -50%, -60%... price so it must be cheap – the market has gone crazy why can't everyone see how cheap it is!!!?") 😭.
Usually the "cheap" stock continued to grind lower as all the "expensive" stocks I didn't want to cough up for proceeded to move higher, and higher, and higher...🚀
CSL (CSL) chart, the dip that keeps dipping...😭 (
The market is stupid. The market is broken. Surely it has to bounce soon. Surely it can't go any lower. It's below its intrinsic value.... This is unnnnfairrrr!!! 🤬
Are just a few of the excuses I made for my losses.
Why didn't on all those occasions, the market prove my hunch right and make the stock in question rocket back up again? Perhaps it was because the market wasn't wrong – perhaps it was because my thinking was faulty somehow? 🤔
This was the conclusion I came to after many years of pain and anguish trying to buy "cheap" stocks. I.e., stocks that had fallen in price ("it was X price and now it's only X - 30%, -40%, -50%, -60%..." remember?). I started to figure that it really didn't matter what I thought a stock should be worth – because my piddly few bucks had no impact on its price.
Nope, what really matters is what everyone else thinks about it – because everyone else is responsible for setting and moving the stock's price ✅.
This revelation is what put me on the path that I still trod today: Trend Following. It is a total submission to the whims of the masses. It is based on the realisation that the market is gonna do what the market is gonna do no matter what stupid decision I chose to make – so rather than fight the market – I'd better get on board!!! 🚂
The other half of the trend following equation is to buy a stock that looks to most to be expensive. That's the other part of this edition of ChartWatch ASX Scans' title – the unanimously believed to be "expensive" by the value investing community banks – of which National Australia Bank (NAB) and Westpac Banking Corp. (WBC) presently show excellent uptrends 📈.
Welcome to my ChartWatch Daily ASX Scans series. Here, I present scan lists based on my trend following technical analysis methodology. My goal is to alert you to the best uptrends and downtrends on the ASX.
Feel free to get your favourite AI to convert the tables below into lists you can upload to your favourite trading platform like TradingView. Then you'll be able to skip from chart to chart and quickly and easily see the best uptrends and downtrends on the ASX.
Some investors prefer to buy those stocks in strong uptrends, and avoid, sell, or short sell those stocks in strong downtrends – but how you use the lists is really up to you!
Note, many stocks in both lists have appeared there many times before. As long as they keep meeting my criteria – they'll keep appearing. But note, there won't be any notifications when they don't – so you'll have to do your own research on when a particular trend changes!
Uptrends Scan List
Company | Code | Last Price | 1mo % | 1yr % |
29METALS | 29M | $0.335 | +8.1% | -3.4% |
Aura Energy | AEE | $0.190 | +22.6% | +40.7% |
Aeris Resources | AIS | $0.235 | +14.6% | +34.3% |
Argo Global Listed Infrastructure | ALI | $2.47 | +6.5% | +9.8% |
Aristocrat Leisure | ALL | $72.88 | +6.5% | +35.7% |
Ansell | ANN | $34.59 | +14.3% | +16.5% |
Amotiv | AOV | $9.69 | +9.6% | -5.3% |
Argo Investments | ARG | $9.50 | +2.5% | +7.5% |
Autosports Group | ASG | $3.20 | +29.8% | +53.1% |
Baby Bunting Group | BBN | $2.66 | +47.8% | +61.2% |
Chorus | CNU | $8.85 | +10.6% | +10.9% |
Coles Group | COL | $24.04 | +16.4% | +30.2% |
Caprice Resources | CRS | $0.088 | +46.7% | +120.0% |
DUG Technology | DUG | $1.625 | +18.2% | -48.9% |
Dorsavi | DVL | $0.047 | +62.1% | +261.5% |
Falcon Metals | FAL | $0.985 | +109.6% | +228.3% |
Fiducian Group | FID | $13.20 | +19.6% | +51.4% |
Gateway Mining | GML | $0.053 | +96.3% | +140.9% |
GPT Group | GPT | $5.63 | +11.0% | +15.4% |
HOT Chili | HCH | $0.830 | +36.7% | -0.8% |
iShares S&P Small-Cap ETF | IJR | $183.48 | +5.8% | +6.4% |
IPD Group | IPG | $4.32 | +22.0% | -8.9% |
Jumbo Interactive | JIN | $12.22 | +17.8% | -10.9% |
Kelsian Group | KLS | $5.05 | +35.0% | +32.2% |
Lumos Diagnostics | LDX | $0.135 | +84.9% | +268.9% |
L1 Long Short Fund | LSF | $3.22 | +3.5% | +5.2% |
MA Financial Group | MAF | $9.51 | +18.1% | +83.6% |
Mineral Resources | MIN | $36.87 | +19.8% | -18.3% |
Metal Powder Works | MPW | $3.70 | +96.8% | -54.5% |
Metcash | MTS | $4.21 | +7.4% | +16.3% |
Vaneck Australian Banks ETF | MVB | $43.53 | +6.5% | +16.7% |
National Australia Bank | NAB | $42.94 | +11.6% | +13.7% |
Origin Energy | ORG | $12.99 | +11.2% | +32.1% |
Orica | ORI | $21.96 | +2.5% | +21.7% |
Pantoro | PNR | $4.72 | +24.9% | +141.4% |
Platinum Asset Management | PTM | $0.805 | +15.0% | +4.2% |
Resimac Group | RMC | $1.025 | +13.9% | +25.0% |
Siteminder | SDR | $6.66 | +30.6% | +27.1% |
Sigma Healthcare | SIG | $3.09 | +5.5% | +147.2% |
Washington H Soul Pattinson & Company | SOL | $43.50 | +7.2% | +25.6% |
Southern Cross Media Group | SXL | $0.860 | +43.3% | +57.8% |
Tabcorp | TAH | $0.965 | +22.2% | +75.5% |
Transurban Group | TCL | $14.74 | +6.6% | +8.9% |
The Lottery Corporation | TLC | $5.91 | +9.6% | +21.0% |
Tyro Payments | TYR | $1.220 | +26.4% | +10.9% |
Vicinity Centres | VCX | $2.60 | +5.3% | +19.8% |
Vanguard Australian Shares High Yield ETF | VHY | $79.70 | +5.0% | +8.4% |
Westpac Banking Corporation | WBC | $39.01 | +15.7% | +27.2% |
Westgold Resources | WGX | $3.41 | +30.7% | +13.3% |
Wrkr | WRK | $0.115 | +9.5% | +259.4% |
Today's Uptrends Scan List
Feature Charts from today's Uptrends List 🔎📈
The stocks that I feel are showing the strongest excess demand from today's Uptrends List are: Aeris Resources , Ansell , Coles Group , Caprice Resources , DUG Technology , Dorsavi , Fiducian Group , Gateway Mining , HOT Chili , Kelsian Group , MA Financial Group , National Australia Bank , Resimac Group , Washington H Soul Pattinson & Company , Tabcorp , The Lottery Corporation , Westpac Banking Corporation .
10 Randomly chosen Feature Uptrend Charts:
Downtrends Scan List
Company | Code | Last Price | 1mo % | 1yr % |
AGL Energy | AGL | $8.03 | -17.3% | -29.9% |
Amcor | AMC | $13.06 | -12.4% | -20.1% |
Austin Engineering | ANG | $0.295 | -18.1% | -52.0% |
Appen | APX | $0.850 | -11.0% | -39.3% |
ASX | ASX | $62.34 | -11.5% | -1.0% |
Avita Medical | AVH | $1.390 | -20.8% | -48.5% |
Accent Group | AX1 | $1.390 | -6.7% | -34.4% |
Brainchip | BRN | $0.195 | -4.9% | +8.3% |
Computershare | CPU | $37.77 | -9.8% | +34.0% |
CSL | CSL | $212.70 | -21.5% | -31.2% |
Clarity Pharmaceuticals | CU6 | $3.18 | -26.6% | -55.3% |
Domino's Pizza Enterprises | DMP | $14.94 | -19.5% | -50.9% |
Dimerix | DXB | $0.445 | -6.3% | +3.5% |
Endeavour Group | EDV | $3.87 | -6.1% | -24.9% |
EVT | EVT | $13.98 | -17.7% | +30.2% |
Findi | FND | $3.68 | -1.3% | +4.2% |
Inghams Group | ING | $2.71 | -22.1% | -12.6% |
Nufarm | NUF | $2.44 | -7.6% | -40.2% |
South32 | S32 | $2.70 | -10.6% | -12.6% |
The Star Entertainment Group | SGR | $0.100 | -9.1% | -79.2% |
Sonic Healthcare | SHL | $23.90 | -13.7% | -15.0% |
Xero | XRO | $162.05 | -10.0% | +13.1% |
Yancoal Australia | YAL | $5.42 | -14.9% | 0% |
Today's Downtrends Scan List
Feature Charts from today's Downtrends List 🔎📉
The stocks that I feel are showing the strongest excess supply from today's Downtrends List are: AGL Energy , Austin Engineering , Appen , CSL , Clarity Pharmaceuticals , Domino's Pizza Enterprises , Dimerix , Endeavour Group , Findi , Inghams Group , Nufarm , South32 , Sonic Healthcare , Xero , Yancoal Australia .
10 Randomly chosen Feature Downtrend Charts:
Important considerations when using the ChartWatch Daily ASX Scans:
1. The future is unknown. Anything can happen to change the trends in the lists above. A stock in a perfect uptrend or downtrend may not remain that way by the close of trading today. 2. These lists are not exhaustive, they are curated by Carl. You will find that certain stocks might not appear in a particular list on consecutive days but might reappear when Carl feels it deserves to return to the list. 3. This is not a recommendation service, merely an aid to help you better understand the workings of Carl’s technical analysis model in a practical way. Carl will not alert you to stocks that have dropped off a list because their trend has changed – it's up to you to apply the criteria to determine why a particular stock might not still be included. 4. This is general, educational information only – so always do your own research!!!
