Sunset Strip (Afternoon Report) - Aussie market recovered with US lead and then gave up half the outperformance by the close due to lack of conviction

Sunset Strip (Afternoon Report) - Aussie market recovered with US lead and then gave up half the outperformance by the close due to lack of conviction. We turned negative on Friday morning after Thursday US selloff pushed it to technical support levels, AUDUSD at the peak level we expected in current cycle, Aussie market struggling to break past our short term target for S&P 300 of 5400-5500, US VIX jumping 22% in 2 days, Aussie VIX jumping 20% from historical low level in 3 days, Aussie fund managers on school holidays for the next 2 weeks, spot gold rising over the past week, optimism on central bank support in the price, financial sector upgrades in the price, sell in May trend getting airplay and Aussie market growth outlook not justifying current valuation level. Market waits for US and China to set the sentiment tomorrow. (VIEW LINK)