Bank led bounce. Wed Aug 12

The well received result from Commonwealth Bank, up 2.5% at midday, along with an apparently acceptable result from Bhp has helped the Australian market to shrug off early falls following weak overnight leads. The Xjo index is up 5 points, 43 points off its lows.

The bounce has been aided by good performances from Flight Centre and JB Hifi which reported better than expected results yesterday and have continued to rally strongly this morning.

Stockland group also reported this morning and has not fared so well although considering yesterday's strong rally it's holding up ok.

I've had a quiet morning, I stopped out of Cxp on a trailing stop at 388 (v 398) - fortunately it was a small position - and I've re-entered Mah at 49.5 as the selling has abated and I like the prospects of a move to new highs around 60.

3 pm In the last few hours the market has firmed slightly and is now up 12 points. My positions haven't changed much so I'm trying to be patient and wait on developments. Doesn't make for entertaining blogging though.

I've noticed that there's nearly always good follow through to results, good or bad, the following trading day. I've taken the opportunity to get back into Stockland as it's shaken off some early caution about the result and is back up to yesterday's closing high of 341. Long at 34o.

4.10 The market closed up 11 points, clearly outperforming other regional markets with Cba particularly strong and Bhp reversing early losses to be up 1%. My smaller dollar stocks were a mixed bag, slightly down overall.