(VIANEWS) – S&P/ASX ALL AUSTRALIAN 200 (AXAT) has been up by 6.36% for the last 21 sessions. At 19:08 EST on Monday, 23 January, S&P/ASX ALL AUSTRALIAN 200 (AXAT) is $7,447.70.

Is S&P/ASX ALL AUSTRALIAN 200 Index a Good Investment?

The S&P/ASX ALL AUSTRALIAN 200 Index is a key indicator of the performance of the Australian market. As such, it’s a good place to start when you’re looking for a share market index to invest in.

The ASX 200 is a stock market index which tracks the performance of the largest listed companies. This is the basis for a wide variety of index products. Each company is weighted based on the total market value of its shares.

Listed companies place great importance on being included in the ASX 200. This is because it encourages investment, as well as institutional interest. Also, the presence of the index ensures liquidity.

While the ASX is a good indicator of the economy, it’s not the only way to invest. There are a number of other indices that track specific market sectors.

The ASX 200 consists of 10 sectors. Financial stocks dominate the index. These include banks, insurance companies, and mining and resources. They make up more than half of the overall value of the index.

The materials sector makes up the second largest part of the index. Resources firms are important because they produce raw materials needed by Chinese firms. In recent years, the materials sector has outperformed the broader market.

To stay in the index, a company must be listed as an ordinary share on the stock exchange. Additionally, they must meet minimum volume requirements.

The index is periodically rebalanced to keep the listing criteria in place. This happens each quarter. An announcement is made two business days before the rebalance.

Concerning S&P/ASX ALL AUSTRALIAN 200’s yearly highs and lows, it’s 16.55% up from its 52-week low and 2.01% down from its 52-week high.

Volatility

S&P/ASX ALL AUSTRALIAN 200’s last week, last month’s, and last quarter’s current intraday variation average was 0.23%, 0.28%, and 0.65%, respectively.

S&P/ASX ALL AUSTRALIAN 200’s highest amplitude of average volatility was 0.32% (last week), 0.69% (last month), and 0.65% (last quarter), respectively.

Index Price Classification

According to the stochastic oscillator, a useful indicator of overbought and oversold conditions, S&P/ASX ALL AUSTRALIAN 200’s is considered to be oversold (<=20).

News about

  • According to DailyForex on Monday, 23 January, "The 34,000 level has been a significant amount of resistance in the past, so if we turned around a break above that, it would obviously be a very bullish sign, but I would assume that it would also coincide quite nicely with several other markets taken off to the outside such as the S&P 500, and perhaps even the NASDAQ 100 which has taken a bit of a beating as of late as well."

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