Asia finishes the week on a relatively upbeat note despite the continued trade war and ructions in Europe over Trump’s barnstorm visit. Stocks put on gains everywhere but mainland China as the trade data print came in mixed. The USD remains elevated against everything, especially Pound Sterling which continues to feel the heat of a hard Brexit.
The Shanghai Composite has fallen back slightly to finish the week at 2831 points, just slightly above the previous level of support at 2800. The Hang Seng Index is up about 0.25% to close at 28548 points. There’s still a chance of a bottom here on the daily chart at 28000 but price and momentum is not yet motivated:
S&P futures are up alongside Eurostoxx, with the latter indicating a positive 0.3% move higher on the open. US stocks are sure to finish the week with a flourish as the S&P500 four hourly chart suggests another move higher after the solid bounce off of trailing ATR support:
Japanese stocks surged higher again on the back of a very weak Yen with the Nikkei 225 up nearly 2%, closing at 22597 points, now starting to look quite boisterous on the daily chart. The USDJPY pair has stayed above the 112 handle, with momentum extremely overdone, but definitely signalling a changing market sentiment here on USD:
The ASX200 finished the week with a square session, unable to make any further gains after a solid performance all week, closing at 6268 points. The Aussie dollar is trying to get back on board and pushed through the 74 handle but has since retraced late in the session showing that this bounce maybe shortlived:
The data calendar finishes the week with the Fed’s monetary report to Congress and continued earnings on Wall Street. Have a good weekend!