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Australia stocks were modestly higher during the session on Thursday, led by advancing shares in the Metals & Mining, Gold and Resources sectors, which sent stocks soaring.

The S&P/ASX 200 added 0.20% at the close of session in Australian trading.

Among the best performers amid session on the S&P/ASX 200 were Resolute Mining Ltd, which gained 9.67% or 0.130 points to changed hands at 1.475 in late trade. Meanwhile, Syrah Res F rose 9.40% or 0.220 points to settle at 2.560 and Galaxy Resources Ltd added 6.99% or 0.033 points to 0.497 at the close.  

Subsequently, Myer Holdings Ltd is among the worst performers amid session, which dropped 5.04% or 0.058 points in late trade. Sky Network Television Ltd. lost about 4.12% or 0.140 points to finish at 3.260 and Eclipx Group Ltd declined 3.98% or 0.160 points to 3.860 at the close.

Advancing stocks outnumbered dropping ones on the Australia Stock Exchange between the range of 604 to 503 and 315 remained unchanged.

Sky Network Television Ltd. stocks declined to 5-year lows, down by about 4.12% or 0.140 to settle at 3.260.

The S&P/ASX 200 VIX, which gauges the implied volatility of S&P/ASX 200 options dipped 6.20% to 9.024.

Gold Futures April delivery rose 2.01% or 24.15 to finish at $1224.85 a troy ounce. Elsewhere in commodities trading, Crude oil April delivery added 0.57% or 0.28 to end at $49.14 a barrel, while the May Brent oil contract gained 0.64% or 0.33 to changed hands at $52.14 a barrel.

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AUD/USD lost about 0.30% to 0.7687, while AUD/JPY was down 0.35% to 87.10.

The US Dollar Index Futures edged higher by 0.05% at 100.41 at the close.

Stocks Rallies on Miner Surge

After the US stockpiles held steady from record highs, crude oil prices found support during the course of the session on Thursday, which posted higher at the close of trade, following gains on metals, iron ore and copper.  

Iron ore miners Rio Tinto Ltd rose 2.3 percent and Fortescue Metals Group added 4.4 percent. Moreover, the financial index settled at 1.1 percent lower due to declining shares of the “big four” banks, which dropped in the range of 0.3 percent to 2.4 percent.

The chart below illustrates the S&P 500 index movement after seeing positive gains during the recent sessions as miners sharply rallied. The stock is currently trading at 2391.75 in a light trading volume of 2433, near resistance 2400.72.

Hence, given a bullish tone on the stock, the RSI suggests that the overbought level hasn’t been reached, which stood at 69.2243. It could signal the stock to further rally.

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Conclusion

Given a constant rally on Australian shares, it is expected that it could still further rally if resistance 2400.72 will be tested. However, there could be a potential headwind as the RSI overbought level hasn’t been reached.

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