The real stock market test is coming

Lance Lai

Switzer Expert

Lance Lai has had extensive experience in the Australian investment and commercial environment over the past 18 years. He is the Chief Investment Advisor to ACE Capital Management Limited a private investment company for sophisticated Japanese investors.

His present and past experiences are as follows:

Chairman and Chief Investment Officer of Accountancy Invest Funds Management Pty Ltd. A private investment company founded 2004.

Founder of Accountancy Invest Pty Ltd – Chartered Accountants, accountancy practice in North Sydney, specialising in accounting and tax work for investment clients since 1998.

2006 – present: Finance Chair of the Entrepreneurs’ Organisation (EO) – Sydney Chapter. EO is a global entrepreneurial organisation where membership is via invitation.

1990 – 1995: Deloitte Touche Tohmatsu, admitted as a Chartered Accountant in 1993 specialising in financially distraught company work outs. Specialties, include the clothing industry (manufacture and retail), clubs and bars, restaurants and commercial properties.

The S&P 500 virtually hit the 'l' level last week before the release of the non-farm payrolls in the US on Friday night. The market has since come off as expected, and in the next week, I expect to see market momentum retest lower levels.

I'll now be watching the index closely as it slips to around the 1,330 mark, which is where a nice bounce could – and should – occur so as to keep in line with an “orderly muddle-through” global scenario.

The positives and negatives in this chart are balanced at this point, so this ought to be one of the 'real tests' for the S&P 500.

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