By Chris Becker
The commodity rout continues with oil slammed overnight on a lack of buyers as OPEC twiddles its thumbs while gold fell to a new monthly low, breaking its uptrend from the Xmas rally low. US earnings are still trickling in strong enough to keep US markets buoyant and risk managers happy but the big test will be tonights US employment report – the NFP.
Yesterday in China, the Shanghai Composite closed with a scratch session losing only 2 points to 3132 points, still holding above the level of crucial support at 3100. I’m still expecting a small bounce here on intervention but am prepared for a breakdown below support as price remains solidly below the low moving average on the daily chart:
