by Chris Becker
A cautious end to a tumulteous week in Asian stock markets, with a sigh of relief that the US election is done and dusted, with time over the weekend to consider the next moves for risk.
The Shanghai Composite is entering a new phase in its long held bear market, launching above overhead resistance for a proper breakout yesterday it has made good on the move, currently up 0.6% to almost 3200 points. My target is at least 3400 in this move. Conversely, the Hang Seng is down 1% as it struggles below key support at 23000, currently at 22600 points and ready to start its own correction:
In Japan, the Nikkei is up modestly after a massive bounceback earlier, closing around 0.25% higher to 173684 points. Yen is remaining weak but not going anywhere as the USDJPY continues to tread water holding at the 106.60 level. I’m watching momentum wane here for a short swing setup possibility:
S&P Futures basically haven’t moved so not much to get excited about, with Eurostoxx and FTSE futures also steady.
For the ASX200, it was a more solid end to the week, up 0.7% to 5370 points with my overhead target at 5400 not to far away and dependent on more risk-on moves. I’ll have a closer look at the domestic bourse on Monday.
The Aussie dollar had a little breakout in the Asian session, but nothing to get excited about, lifting to 76.30 against USD as it tries to claw back its overnight losses. Again, another market to weigh up the risks after this weekend:
The data calendar tonight ends the week lightly, with not much going on Europe and a Uni of Michigan confidence print plus a private oil rig count the only things of note in the US.
Have a good weekend, pinch yourself, its not the end of the world, life goes on.
Remember, we’re just all together here on a pale blue dot.